Decision signals the end of long-running dispute and reshapes oversight of aerospace workforce cases
Washington, D.C., 12 February 2026 – The US labor board has ended its legal fight against Elon Musk’s SpaceX, marking a significant development in a case that began two years ago. According to reports cited by The New York Times and Bloomberg, the National Labor Relations Board (NLRB) has dismissed its complaint against the aerospace company and indicated it will not pursue similar cases in the future.
The dispute started when the NLRB accused SpaceX of firing eight engineers who were involved in drafting and sharing an open letter that criticized company leadership. The board had alleged that the dismissals violated federal labor law.
However, in a recent letter sent to the former employees’ attorneys, the NLRB said it was dropping the case because it does not have legal authority or jurisdiction over SpaceX engineers. The agency cited a new opinion from the National Mediation Board, which concluded that the engineers fall under its oversight instead.
Danielle Pierce, a regional director at the NLRB, stated in the letter that the board lacks jurisdiction over the employer and therefore must dismiss the charge. The NLRB declined further comment, and SpaceX, as well as the National Mediation Board, did not immediately respond to media inquiries.
The National Mediation Board typically oversees labor matters involving railroad and airline companies, such as American Airlines Group. In contrast, the NLRB usually handles cases involving most private-sector employers, including manufacturers like Boeing.
Last August, a US appeals court sided with SpaceX and two other companies, suggesting that the structure of the NLRB may be unlawful. The court blocked the agency from continuing certain enforcement actions against them, adding complexity to the case.
The shift in jurisdiction is important because workers under the NLRB are protected by laws that allow broad collective action to improve working conditions, whether or not they are part of a union. Employees under the National Mediation Board fall under a different federal law that offers different protections.
This development is likely to influence how future labor disputes in the aerospace industry are handled. It also highlights ongoing discussions about regulatory authority, corporate governance, and employee rights within fast-growing private space companies.
