California’s Department of Fair Employment and Housing is suing Elon Musk’s company Tesla over racism and harassment toward Black employees at Tesla’s plant in Fremont, Calif., according to a lawsuit filed by the state this week. The company has called the lawsuit "unfair."

The lawsuit follows three years of investigation into Tesla and alleges that Black and African American employees at the company’s Fremont plant are "segregated to the lowest levels."

The lawsuit describes multiple instances of racist language and drawings toward Black employees, penalizing Black employees more harshly than white employees and denying Black employees career advancement opportunities and equal pay for work similar to that of other employees.

"These numerous complaints by Black and/or African American workers about racial harassment, racial discrimination, and retaliation lodged over a span of almost a decade have been futile," the lawsuit says.

"Tesla has continued to deflect and evade responsibility. While it claims to not tolerate racial harassment or discrimination at its factories, Tesla’s investigations of complaints are not compliant with law."