Detroit Bureau on Twitter

Posts Tagged ‘Tesla financial problems’

Can Tesla Bounce Back From Disastrous Model 3 Launch?

Musk goes on the defensive.

by on Nov.02, 2017

Tesla CEO Elon Musk said the company is still working on the bottlenecks that have hampered Model 3 production, crimping Tesla earnings.

When Tesla officially rolled the first of its new Model 3 sedans down the assembly line in mid-July it was billed as a historic moment. It was not only the California EV-maker’s first mainstream model, but also marked the first time Tesla had met its original production schedule, the previous launch of the Model X coming two years late.

Less than four months later, however, it’s clear that things haven’t been running as smoothly as Tesla and its CEO Elon Musk would like. The Model 3 line at the company’s Fremont, California, plant is barely moving, with workers frequently having to sub for stalled automation systems. That contributed to a record $619 million loss for the third quarter, the numbers far worse than even Wall Street’s increasingly pessimistic analysts had forecast.

We Keep You in the Know!

But is this just a “flash in the pan,” as Tesla executives insisted during a Wednesday evening conference call, a temporary setback that will soon be overcome, or is it the sort of critical failure that could have a much longer impact on Tesla’s health? (more…)

Tesla Wrestling With Challenges, Pressure from Plant Workers

Growing pressure on plant floor causing injuries, employee turnover.

by on May.19, 2017

Employees at Tesla's production facility in Fremont, California, complain of poor working conditions and injuries resulting from them.

While Tesla moves to push ahead with production of the Model 3, it is facing challenges inside its factory in Fremont, California, that include an increasingly restless workforce where turnover is high and complaints about on the job injuries are mounting.

The United Auto Workers has launched an organizing drive and pro-union have now filed multiple charges with the National Labor Relations Board, claiming they have been harassed for pro-union activity. Tesla has denied the charges.

News You Can Trust!

But Tesla also has been hit with complaints about working conditions inside the plant, which has also been turned into a giant construction site as the company’s founder pushes ahead with his bold expansion plans. Musk has even talked the Bay Area Rapid Transit authority about building a new station closer to the Fremont factory. (more…)