Report: Tesla to Shut Down Model S and Model X Production for 18 Days
Tesla is reportedly shutting down its Model S and Model X production lines for two weeks over the holidays. Employees will receive one week paid and one week unpaid during the shutdown, CNBC says.
This story originally appeared on PC Mag
With the holidays approaching, several companies will be taking some time off. The same apparently goes for Tesla, which The Verge reports will be shutting down production for both its Model S and Model X vehicles for 18 days, starting on Dec. 24.
Tesla issued an announcement on Friday, Dec. 11 that employees working on those lines would receive one full week of pay as well as some paid holidays. CNBC reports that employees were asked to take five unpaid days off for the other week, but may seek additional work within other parts of the company. Employees are also encouraged to “volunteer for deliveries” from Dec. 26 through Dec 21.
In an email to employees on the same day as the shutdown announcement, CEO Elon Musk noted that demand for Tesla vehicles had been “quite a bit higher than production this quarter” and asked that employees increase production as much as they could. According to CNBC, “the shutdown of the S and X lines suggests that the high demand does not extend to these older models.”
Tesla is currently building a new factory in Austin, Texas. This follows Musk’s threats to move Tesla production out of California to Texas. The eccentric CEO also opted to reside in Texas as a tax-saving move.
With the holidays approaching, several companies will be taking some time off. The same apparently goes for Tesla, which The Verge reports will be shutting down production for both its Model S and Model X vehicles for 18 days, starting on Dec. 24.
Tesla issued an announcement on Friday, Dec. 11 that employees working on those lines would receive one full week of pay as well as some paid holidays. CNBC reports that employees were asked to take five unpaid days off for the other week, but may seek additional work within other parts of the company. Employees are also encouraged to “volunteer for deliveries” from Dec. 26 through Dec 21.
In an email to employees on the same day as the shutdown announcement, CEO Elon Musk noted that demand for Tesla vehicles had been “quite a bit higher than production this quarter” and asked that employees increase production as much as they could. According to CNBC, “the shutdown of the S and X lines suggests that the high demand does not extend to these older models.”
Tesla is currently building a new factory in Austin, Texas. This follows Musk’s threats to move Tesla production out of California to Texas. The eccentric CEO also opted to reside in Texas as a tax-saving move.
The rest of this article is locked.
Join Entrepreneur+ today for access.
Already have an account? Sign In
