Elon Musk's X Gets A Win Amid Legal Troubles As Judge Tosses Out Disability Discrimination Lawsuit Citing Insufficient Evidence Tied To Remote Work Ban

The lawsuit accusing Elon Musk’s Twitter, now known as X, of discriminating against employees with disabilities has been dismissed by a federal judge.

What Happened: On Wednesday, U.S. District Judge Araceli Martinez-Olguin in San Francisco dismissed a lawsuit against X, which alleged that the company forced out employees with disabilities after Musk took over and prohibited remote work, Reuters reported.

The judge stated that the plaintiff, Dmitry Borodaenko, failed to demonstrate how Musk’s return-to-office mandate specifically affected employees with disabilities.

Borodaenko, a former engineering manager and cancer survivor, claimed he was fired for refusing to return to the office during the COVID-19 pandemic after Musk acquired X, then known as Twitter. The lawsuit alleged that X violated a federal law that requires employers to accommodate workers’ disabilities.

“Borodaenko's theory improperly relies on the assumption that all employees with disabilities necessarily required remote work as a reasonable accommodation,” Martinez-Olguin wrote.

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Martinez-Olguin ruled that the ban on remote work did not constitute disability discrimination, giving Borodaenko four weeks to file an amended lawsuit with more detailed claims. This lawsuit is one of several filed by former employees following Musk’s $44 billion acquisition of the company. Approximately 85% of X’s workforce was laid off after Musk acquired the company.

Why It Matters: The dismissal of Borodaenko’s lawsuit comes amid a broader debate on remote work policies. Starbucks and other major companies have faced scrutiny for allowing top executives to work remotely while requiring lower-level employees to return to the office. This disparity highlights ongoing tensions in the corporate world regarding remote work.

Kevin O’Leary has publicly challenged Musk’s view on remote work, labeling it “immoral.” O’Leary’s stance resonates with a significant portion of the American workforce, as a McKinsey & Co. study revealed that 87% of U.S. employees prefer flexible work arrangements.

Musk’s return-to-office policies have met resistance in the U.S. and beyond. In Germany, Tesla Inc. employees in 2022 opposed similar mandates, backed by the IG Metall union.

Additionally, a survey by Bamboo HR found that some executives use return-to-office mandates to induce voluntary resignations, a tactic seen during the “Great Resignation.”

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This story was generated using Benzinga Neuro and edited by Kaustubh Bagalkote