The National Labor Relations Board has dismissed its case against SpaceX for allegedly illegally firing eight employees in 2022. The workers were terminated after circulating an internal letter that criticized CEO Elon Musk, referencing reports of his sexual misconduct and calling him a distraction. The NLRB had filed its complaint in 2024, arguing the firings violated labor laws.

SpaceX’s legal strategy shifted from attacking the NLRB’s constitutionality to a novel jurisdictional argument. The company’s lawyers successfully contended that because SpaceX sells tickets to the public and holds an FAA license, it should be regulated like an airline under the National Mediation Board. That agency affirmed this logic in January, prompting the NLRB to drop its case.

The dismissal fits a broader pattern of independent agencies losing authority during the second Trump administration. Elon Musk spent over $250 million to re-elect President Trump and briefly led a government efficiency initiative. While the NLRB voluntarily ceded jurisdiction here, the decision still weakens a key enforcement mechanism for worker rights against powerful corporations.