The Spark

the Voice of
The Communist League of Revolutionary Workers–Internationalist

“The emancipation of the working class will only be achieved by the working class itself.”
— Karl Marx

Tesla Ripping Off Suppliers

Aug 18, 2025

Elon Musk’s companies face hundreds of millions of dollars in unpaid bills to their small business contractors, according to lawsuits reported on by CNN.

For example, Tesla hires such contractors to install plumbing, paint buildings, outfit facilities with robots and security systems, and similar projects. Many businesses hired to work on Tesla’s Gigafactory in Texas say they were never paid or faced months-long delays that forced them into financial crisis and bankruptcy. As a consequence, these contractors were forced to lay off their workers.

SpaceX and X have also reportedly faced similar claims, including lawsuits related to fuel deliveries, jet travel, and construction services.

In court, one of Tesla’s attorneys admitted that Tesla is often slow to pay, saying: “I don’t disagree that it does take Tesla some time to pay, that goes for legal bills, too … I know it full well.”

There are so many such unpaid bills that make this strategy “a business practice of not paying people until they sue,” according to the owners of these contractors.

At the same time, Tesla is awarding Elon Musk around $29 billion in shares, a mind-boggling bonus, showing at least in part where money saved from unpaid bills goes.

Under capitalism, the only way one can get so filthy rich is by ripping off others, and above all, workers.