Lucid Faces New Turmoil as Former Chief Engineer Files Wrongful Termination Lawsuit

Lucid Motors is facing fresh scrutiny after former chief engineer Eric Bach filed a federal lawsuit alleging wrongful termination, discrimination, and retaliation. Bach claims a senior HR executive referred to him as a “German Nazi,” and that he lost responsibilities after a workplace-culture investigation launched in early 2025.

Lucid denies the allegations, calling his claims “absurd,” but the suit adds pressure to a company already struggling through leadership turnover and heavy financial strain.

Lawsuit alleges slur, retaliation, and loss of responsibilities during internal probe

According to the complaint filed in the Northern District of California, Bach was stripped of oversight of Lucid’s powertrain division in early 2025 after the company opened a workplace-culture investigation. He alleges he was targeted due to his German heritage and claims Lucid later confirmed the HR executive made the disparaging remark. Bach says he filed further internal complaints after witnessing similar behavior from another vice president.

The lawsuit states the situation escalated in late 2025, when Bach claims Lucid attempted to force his resignation before ultimately firing him on November 5. Lucid’s public statement at the time simply said he had “departed.” Bach, who spent a decade with the company, argued he had been on an upward trajectory, overseeing hardware engineering and product planning, according to TechCrunch. He asserts that top leadership, including the chairman and a board member, indicated he was positioned for senior executive advancement, potentially even CTO or CEO.

Executive churn deepens as Lucid works to stabilize operations and launch new models

Bach’s lawsuit arrives at a sensitive time for Lucid, which has been contending with mounting cash burn as it ramps production of the Gravity SUV and develops a more affordable midsize platform for 2026. The company has seen significant executive departures over the past year. Lucid’s VP of engineering left on the same day Bach says he was dismissed, and former CEO/CTO Peter Rawlinson abruptly resigned in February. Other exits included leaders across investor relations, operations, European management, software quality, and marketing, contributing to concerns about stability at the EV startup.

The complaint also claims the late-2024 culture investigation was “tainted by HR’s racist beliefs,” leading to Bach’s exclusion from board meetings and further reductions in influence. The legal battle now adds one more complication for a company already navigating operational challenges, market headwinds, and leadership gaps.

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