Musk says he is looking into alleged bonus cuts at Tesla's Shanghai factory

Asian Tech Press (Apr 18) -- Tesla CEO Elon Musk said he is looking into the alleged bonus cuts at Tesla's Shanghai factory.

According to a number of posts on the internet, Tesla's Shanghai plant informed their frontline employees over the weekend that it planned to cut their performance bonuses by more than 2,000 yuan ($291) per mounth.

A self-proclaimed Tesla employee stated said in a post that the performance cuts were due to the fact that the company had to compensate for a safety incident, which made him feel very unfair and helpless.

In response, Tesla CEO Elon Musk said under a tweet on Monday, "Was alerted this weekend. Looking into it."

A mechanical accident occurred in a welding and assembly workshop of Tesla's Shanghai plant just after 6 p.m. on February 4, 2023, resulting in the death of an employee, according to a report released on April 12 by the Shanghai Pudong New Area Government.

The investigation report said that Tesla's negligence in safety management indirectly contributed to the accident and that the employee who died in the accident was directly responsible.

Tesla's Shanghai plant, which began operations in late 2019 , produces Model 3 and Model Y electric vehicles for the Chinese market and export, and is its largest manufacturing hub.

The plant, hiring around 20,000 workers, delivered over 710,000 units cumulatively for the full year 2022, up 48% year-on-year and representing around 52% of Tesla's global production (1.37 million units).

(US$1 = 6.875 yuan)

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