Velodyne Lidar sued over job cuts

SAN JOSE >> A Silicon Valley company that provides technology for autonomous vehicles has been sued by an employee over layoffs that the firm says were linked to coronavirus economic jolts.

Velodyne Lidar laid off at the end of March more than 140 employees, about one-third of its staff, at its south San Jose offices, according to allegations contained in the lawsuit filed by one of Velodyne’s laidoff workers.

“One day of written notice” was provided to the workers dismissed from their jobs at the Velodyne Lidar offices in south San Jose, according to the lawsuit filed April 3 in San Jose’s U.S. District Court on behalf of plaintiff Benjamin Siers.

“While Velodyne’s written notice told employees that the layoffs were caused by the recent COVID-19 pandemic, that representation is not consistent with Velodyne’s recent business activities,” the lawsuit alleged.

In the summer of 2019, the litigation claimed, Velodyne had already begun to transfer production jobs overseas and had launched plans to extend the transfers in subsequent outsourcing actions.

“The rapid spread of the COVID-19 virus has resulted in sudden and unexpected changes in business conditions and life in general globally,” Velodyne said in comments emailed to this news organization regarding the suit.

San Jose-based Velodyne said its coronavirus-linked woes are akin to the difficulties that have brutalized businesses worldwide.

“Like many companies, Velodyne Lidar is experiencing serious challenges related to COVID-19 and the unforeseen circumstances it has created,” Velodyne stated.

But Siers, a former production engineer who was laid off from Velodyne, doesn’t buy the explanations from the company, he stated in the litigation, which his attorneys filed as a class action.

“Velodyne’s written notice failed to provide employees with a reason for why it was giving them just one day’s notice when a layoff was reasonably foreseeable before that time,” the lawsuit claimed.