Fisker Fires Workers, Gets Sued

Bertel Schmitt
by Bertel Schmitt

On Friday, Fisker fired most of its rank-and-file employees, 160 out of a total 210, and promptly got into hot water for doing so. The law firm Outten & Golden filed a class-action lawsuit for not giving employees a 60-day notice under California’s WARN act.

“We contend Fisker ordered mass layoffs on or about April 5, 2013 without providing its employees with advance written notice. The Case is pending in the United States District Court for the Central District of California,” says Outten & Golden’s website. The firm is seeking 60 days wages and benefits for former employees. The wheels of justice better move fast. Siliconbeat says that “many speculate that Fisker could file for bankruptcy as early as Monday.”

According to Reuters, the 160 fired were told that the company could not afford to give them severance payments. 53 senior managers and executives were asked to stay on board, “primarily to pursue buyers for the company’s assets,” Reuters says.

The Outten & Gol;den lawfirm is the same that sued ill-fated Solyndra, another fine example of government investments into green technologies. Green as the color of tax payer money.

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

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  • E46M3_333 E46M3_333 on Apr 08, 2013

    Why does it take 53 execs to sell off the assets? Seems a couple of drones with an ebay account should suffice...

  • Gasser Gasser on Apr 08, 2013

    This case is about fairness. 160 workers can be tossed out, but the execs remain. The execs in many businesses treat the enterprise like a private piggy bank, not the share holders property. With no workers, no sales, no advertising and no cash flow, why are 53 execs needed? If these "experts" couldn't run the company, are they clever and experienced enough to liquidate it? Does their performance merit continued employment and probably severance $?

    • See 1 previous
    • GoCougs GoCougs on Apr 08, 2013

      No such thing as fairness. When you're an exec you get special treatment. The further you are down the ladder the less special treatment you get.

  • StealthSpiker StealthSpiker on Apr 08, 2013

    This company can be saved and it is sad that the folks running it are no longer interested in doing so.

    • See 1 previous
    • StealthSpiker StealthSpiker on Apr 08, 2013

      @GoCougs There are indications that management never planned to execute the second half of the loan. However, mass production of the Fisker platform has the ability to bring costs down to the point of making the vehicle viable. The Karma's bugs are generally well-known and can be fixed.

  • Yeah_right Yeah_right on Apr 08, 2013

    how could this company survive when they use Snidely Whiplash's mustache as the inspiration for the grill?

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