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Fremont Tesla Employees Asked To Go Back To Work Despite Coronavirus Health Orders In Place

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Fremont Tesla Employees Asked To Go Back To Work Despite Coronavirus Health Orders In Place

Managers at Tesla Inc.’s (NASDAQ: TSLA) Fremont, California facility asked some employees to return to work on April 29th despite local health orders prohibiting full operations.

What Happened

Tesla managers corresponded with multiple employees, asking them to resume production even though the automaker is permitted to carry out only “minimum basic operations” until May 3, reported CNBC.

State and local authorities are scheduled to inform both residents and businesses by May 3 should there be any change to the public health orders. Sgt. Ray Kelly, a public information officer for Alameda County Sheriff’s Office, told CNBC that these orders have not been relaxed in any way yet.

Why It Matters

Fremont is the sole manufacturing plant for Tesla cars in the United States. CEO Elon Musk downplayed COVID-19 concerns last month, and operations continued as usual until March 23, despite the production being deemed “non-essential” by local authorities.
After the plant was shut down, Tesla furloughed all non-essential workers and cut the salaries of others.

Three furloughed employees told CNBC anonymously that although they were partly happy to return to work, they were also concerned about COVID-19.

The workers said there is little time between the physical tasks that they undertake to stop and wash their hands. They also revealed that workers commute from across the county and its neighboring areas.

As of Sunday, Alameda county had reported 1,421 cases of COVID-19 with 51 deaths. 

What Else 

UAW, an autoworkers' union, is negotiating with Ford Motor Company (NYSE: F), General Motors Company (NYSE: GM), and Fiat Chrysler Automobiles NV (NYSE: FCAU) over reopening plants in the U.S.

Volkswagen AG (OTC: VLKAF), the world’s largest automaker, has already restarted production in Europe and plans to resume manufacturing in the U.S. on Monday.

Tesla Price Action

Tesla shares traded 2.77% higher at $725.15 on Friday in the regular session.

Photo Credit: Courtesy of Tesla.com.

 

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