Tesla's Shanghai factory workers have voiced their dissatisfaction on social media platforms, including directly addressing Elon Musk, after being informed about reductions in their performance bonuses over the weekend, according to online posts and employees who spoke to Reuters.
A number of posts suggested that the bonus cuts were related to a fatal accident that occurred earlier this year at the facility, Tesla's largest worldwide, and criticized the company for the reductions.
This unusual display of discontent comes as Tesla has been lowering prices in several markets, including China, where demand has been softening, raising concerns about its leading profit margin in the industry.
Workers started posting about the issue on forums like Baidu Tieba late last week, with some even taking to Twitter, which is blocked in China and owned by Musk, to reach out to the billionaire, his mother Maye Musk, and Tesla.
A Twitter user with the handle @AFeiywu directed a tweet at Elon Musk and Tesla's Asia unit, saying, "Please pay attention to the performance (bonus) of frontline workers at Tesla's Shanghai factory being arbitrarily deducted."
Two employees at the factory, which employs around 20,000 people, informed Reuters that they were notified by their supervisors over the weekend about a reduction in their quarterly bonus payout, which is tied to the facility's performance.
When asked about the reason for the bonus reduction, the employees said Tesla supervisors referred to a "safety incident." These workers requested anonymity due to concerns for their job security.
Several online posts alleged that Shanghai plant workers were being unjustly penalized for a fatal incident that took place at the factory in February this year.
A local Pudong government report published on April 12 revealed a mechanical accident in Tesla's Shanghai plant's welding workshop on February 4 that resulted in a worker's death.
The local government's investigation determined that Tesla's safety management oversight indirectly contributed to the accident, holding the deceased worker directly responsible.
Neither Tesla nor Elon Musk immediately responded to requests for comment.
Some workers claimed in online posts that their quarterly bonuses had been reduced by about 2,000 yuan ($291.19).
Base salaries at the Shanghai facility start at approximately 5,340 yuan per month, with additional income potentially coming from overtime work, shifts, and annual and quarterly bonuses.
Aidan Chau, a researcher at the Hong Kong-based China Labour Bulletin, explained that while it is not uncommon for companies to penalize employees following a workplace accident, such deductions typically come from a safety bonus.
Chau said, "Deducting the performance bonus, which should be related to workers' output and has nothing to do with work safety, is even more unfair."
Tesla is scheduled to release its first-quarter results on Wednesday, with a primary focus for investors and analysts being the impact of the company's electric vehicle price reductions on its margins.
