Elon Musk’s Tesla agrees to offer a pay rise to workers at its German plant: Tesla is under pressure to raise wages at its German facility. Tesla announced on Thursday that it will increase wages for employees at its German facility, where unions claim that wages there are below the industry standard.
The American manufacturer of electric vehicles said it would advise personnel in November of the magnitude of the pay increase and added that wages were increased by 6% in 2017.
Tesla does not have a pay collective bargaining agreement, in contrast to other German automakers.
In accordance with the agreement from the previous year, employees at Volkswagen, Mercedes-Benz, and BMW would get pay increases of 5.2% in June 2023 and 3.3% in 2024, as well as a 3.160 euro ($3,160) inflation bonus for full-time employees.
Elon Musk’s Tesla:
Tesla’s salaries, according to the German organization IG Metall, were about 20% less than what was stipulated in the collective bargaining agreement.
In order to complete a massive expansion that would double its battery capacity and vehicle output, which is scheduled to start in the first half of next year, Tesla, which presently employs about 11,000 people at the facility, will need to hire more people.
In a series of meetings held at the plant this week, according to IG Metall, Tesla informed employees of the impending rise.
According to a copy of the invitation obtained by Reuters, the meetings were held to tell staff about IG Metall’s “questionable methods” after the union said it would visit the location to advise staff about union membership.
Earlier Reuters inquiries for comment on the talks received no response from Tesla.