Tesla Workers Are Attempting to Unionize Again

Matt Posky
by Matt Posky

Employees at Tesla’s solar-panel factory in Buffalo, New York, are launching a drive to unionize with the International Brotherhood of Electrical Workers and the United Steelworkers. The campaign aims to unify about 300 production and maintenance employees at the the facility. If it succeeds, it will be the first time the automaker has failed to stop its staff from organizing inside the U.S.

The EV manufacturers’ labor force wants the same thing we all want — more money. Many claim that Tesla offers unfair wages and believe collective bargaining is the only road to higher pay.

According to Bloomberg, the two workers’ unions began hearing from Tesla employees earlier this year. “They want a fair wage that’s reflective of the state investment that the company received,” explained USW organizing coordinator Dave Wasiura.

Despite managing to prevent its American staff from organizing thus far, union talk persists at the company’s vehicle assembly plant in Fremont, California. Several former employees have accused Tesla of firing them for being union supporters and then claiming poor performance as the official cause of termination. Others have voiced safety concerns and poor working conditions, saying Tesla ignored the issue.

Elon Musk has a contentious relationship with labor unions. He pulled out every trick in the book to encourage his Californian team to snub the UAW over the past two years. He even went as far as accusing the UAW of engaging in “disingenuous” tactics and fear mongering while doing everything in his power to convince the media and his staff that the factory was a safe and enjoyable place of employment. He promised ice cream and a roller coaster, promised to undertake dangerous tasks himself to ensure their safety, and reminded employees that stock grants mean they make more than most employees at other auto plants.

From Bloomberg:

A Tesla spokesperson said that Tesla pays workers an average of $16.20 an hour and gives them benefits and an equity stake in the company. Tesla also pays performance bonuses, and said that the hourly wages are better than the average production worker makes in the Buffalo region.

“We offer wages and benefits that exceed those of other comparable manufacturing jobs in the region, and we recently increased our base pay even further,” Tesla said in a statement. “In addition, unlike other manufacturers, every single employee is an owner of Tesla, as everyone receives stock upon hire and for good performance, which results in significantly more compensation beyond our already high wages.”

Officially, Musk says he was “neutral” on the workforce organizing, and management’s alleged union-busting practices have proven notoriously difficult to prove. Meanwhile, employees in Buffalo have started gathering outside the factory this week to show the rest of the staff they are serious about launching an effort to unionize.

Matt Posky
Matt Posky

Consumer advocate tracking industry trends and regulations. Before joining TTAC, Matt spent a decade working for marketing and research firms in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Since adding automotive writing to his repertoire, he has become an ardent supporter of the right-to-repair movement, discussed the status of the automotive sector on national broadcasts, participated in a few amateur rallying events, and driven more rental cars than anyone should ever have to. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and learned to drive by twelve. Alleged to be contrarian, Matt claims to prefer understeer and motorcycles.

More by Matt Posky

Comments
Join the conversation
2 of 33 comments
  • Jason801 Jason801 on Dec 16, 2018

    If Tesla's compensation isn't competitive, how did the employees end up working for Tesla?

  • JoDa JoDa on Dec 17, 2018

    Only a fool would open a business in New York. Musk had to have seen this coming.

  • MaintenanceCosts We need a $15k EV, probably a tall hatch, that satisfies US safety standards with reasonable comfort and durability and a warranty. That would actually be affordable to the median wage earner.
  • Calrson Fan I'll take a simple over cheap. Although that should equate to cheap or at least cheaper. I'm so over all the useless & intrusive tech. common in today's cars & trucks. Which is why I drive older stuff. We need more vehicles geared towards simplicity and longevity, like the Slate. if that ever makes it to market. As I once heard on American Hot Rod, less is more. Isn't that the truth!
  • 28-Cars-Later Maybe it will eventually change but as of right now even if you spend the money to build these stations everywhere, if the electricity sold is 100%+ of what its sold for in residential rates it will never take off. To a degree a convenience charge amount (of not 100%) could fly but smart owners will understand the trade off and limit their use of it. Those without home charging capabilities simply won't continue to pay through the nose on electricity - a utility of which has skyrocketed even wholesale and I suspect will continue to do so.
  • KOKing Need and want are definitely different, especially today. Not only are relative expectations different from 40-50yrs ago, but used cars' value/features/quality probably make them more attractive options than a couple generations ago. I suspect for the same $21k as a Hyundai Venue, a lot of people would choose a ~5yr old Ford Explorer instead. Today's gas prices might make some think twice, but a lot of the same people probably won't think as far as repair costs.I think something interesting to look at in other global markets where historically cheap, small cars continue to be available, where cheap Chinese cars are becoming available, whether the latter end up quickly displacing the former in the low-cost segment long-term (I suspect yes).
  • Lorenzo What the American market needs is a 1997 Honda Civic EX in coupe or sedan form, fully loaded like in 1997 at 1997 prices ($19K) or a slightly bigger 1997 Nissan Altima GXE sedan with the larger 2.4L engine and reliable Jatco automatic for about the same price. I have owned both, and wish I had either one back so I could get rid of the keyless Cr**p, the drive-by-wire, and the touch screen, and operate the car myself with buttons and knobs..
Next