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Tesla Sparks Outrage Among Giga Shanghai Workers as Performance Bonus Cut Linked to Employee Death

The complaints are about performance bonuses that were cut.

Tesla is currently facing a backlash from employees at their Gigafactory in Shanghai, according to Electrek. The complaints are about performance bonuses that were cut due to an accidental death at the factory early this year.

Tesla Shanghai Gigafactory
SHANGHAI,CHINA - MARCH 29: An aerial view of Tesla Shanghai Gigafactory on March 29, 2021 in Shanghai, China. Tesla Shanghai Gigafactory is reportedly producing vehicles at a rate of about 450,000 cars per year. by Xiaolu Chu/Getty Images

Tesla workers have been expressing their concerns on Chinese social media, while some took to Twitter.

According to the workers, they were told that their performance bonuses would be cut because of the safety accidents at the factory that took place in the first quarter of 2023. It is linked to the death of a worker at the factory's wielding workshop on Feb. 4.

The government tagged it as the responsibility of the deceased worker. However, Tesla's safety management indirectly contributes to the accident.

Not Uncommon

It's not new for workers in China to have their compensation reduced due to a safety incident. However, it shouldn't be linked to a performance bonus.

Tesla's Gigafactory in Shanghai

Tesla's Gigafactory in Shanghai is a state-of-the-art manufacturing facility that produces electric vehicles for the Chinese market. The factory is the first wholly foreign-owned car plant in China and is a key part of Tesla's strategy to expand its presence in the world's largest auto market.

The Gigafactory in Shanghai began production in late 2019 and has quickly become a major player in the Chinese electric vehicle market. The factory has a production capacity of up to 450,000 vehicles per year and currently produces the Model 3 and Model Y vehicles.

One of the key advantages of the Gigafactory in Shanghai is its location. The factory is located in the Lingang area of Shanghai, which is a free trade zone that allows for easy import and export of goods. This makes it easier for Tesla to import parts and materials for production and export finished vehicles to other markets.

The Gigafactory also benefits from China's push for electric vehicles. The Chinese government has implemented policies to encourage the adoption of electric vehicles, including subsidies and incentives for buyers. This has led to a growing demand for electric vehicles in China, which Tesla is well-positioned to take advantage of with its high-quality, high-performance vehicles.

In addition to producing electric vehicles, the Gigafactory in Shanghai also has a research and development center. The center is focused on developing new technologies for electric vehicles and is staffed by a team of engineers and scientists from around the world.

The Gigafactory in Shanghai is also notable for its sustainable design and construction. The factory was built using sustainable materials and features a large solar array on the roof to provide renewable energy for the facility. Tesla has also implemented a number of other sustainability initiatives at the factory, including water conservation and waste reduction programs.

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Tesla, Elon Musk
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