Tesla Refutes Union Impact on Wage Hike at Giga Berlin, According to Report

Key Points

  • 🚗 Tesla attributes the wage increase at Giga Berlin to an internal standard process.
  • 🤝 Tesla denies any connection between salary adjustments and union activity, refuting claims of union influence.
  • 💰 The salaries of Tesla Giga Berlin workers increased by 6% last year and will rise by an additional 4% this year.
  • 💶 Annual salaries for production employees will increase by 2,500 euros starting in February 2024.
  • 🎁 Employees will receive a 1,500 euro bonus in December to offset inflation.
  • 🏭 Giga Berlin will produce Tesla’s next-generation vehicle, expected to be priced at around $25,000, making it an advanced factory.

Tesla has issued a comment about the rising salaries of Giga Berlin’s employees. As per the electric vehicle maker, the wage increase was the result of an internal standard process and not related to any alleged pressures from union activity. 

“Claims that there is a connection between Tesla’s salary adjustments and union activity are without any truth,” Tesla Germany noted. 

In a recent report, The Wall Street Journal noted that Tesla has been under pressure from IG Metall, one of Germany’s most powerful unions. IG Metall has been trying to organize Giga Berlin, and last month, the union claimed that it was seeing a rise in signups from Tesla Giga Berlin employees. 

It was then not that surprising when IG Metall reportedly claimed that a possible wage increase in Tesla was a sign that its efforts towards the electric vehicle maker were working, as noted in an Autohaus report. But while Tesla did announce a raise for Giga Berlin’s workers, the EV maker made it a point to note that the salary increases were not due to union pressure. 

The salaries of Tesla Giga Berlin workers increased by up to 6% last year, and this year, they will be increased by another 4% for all employees. The raises will be implemented in the workers’ November paycheck, which would likely be a welcome adjustment considering the 2023 holiday season. 

Tesla also noted that the annual salaries of production employees will be increased by 2,500 euros from February 2024, Autohaus noted. A 1,500 euro bonus would also be paid to employees in December to offset inflation. 

Elon Musk recently paid a visit to Giga Berlin, where he announced that the location would also be producing the company’s next-generation vehicle, which is expected to be priced at around $25,000. This would make Giga Berlin one of Tesla’s most advanced factories in the world, as the company would be utilizing a completely different platform for the upcoming EV. 

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