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State officials highlight worker choice in Tesla Giga Berlin labor dispute

Credit: Tesla Manufacturing/X

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As Tesla faces continued labor efforts in Europe over whether the company’s German Gigafactory will sign a collective labor agreement, the automaker has largely doubled down on the idea that its workers are better off being independent from a union’s influence. However, local officials have recently explained why they think an agreement could be mutually beneficial for workers and for Tesla overall, though they emphasize that it’s ultimately up to the workers.

Earlier this month, multiple workers at Tesla’s Gigafactory Berlin, including the works council leader, defended the company’s avoidance of a labor agreement, saying the automaker’s close proximity to the workers made it easier to make routine changes and find solutions for workers.

In recent statements to Teslarati, an official from the Brandenburg Ministry of Economy, Labor and Energy has noted how social partnership between workers and unions contributes to the German economy and to companies overall, while the autonomy of employees to choose remains an important part of the equation.

“It would be good if IG Metall and Tesla could agree on a collective labor agreement or at least talk about it,” said Felix Dollase, a spokesperson for the Brandenburg Ministry of Economy, Labor and Energy, in an email to Teslarati. The statements closely echoed those from Brandenburg Minister Jörg Steinbach made earlier this month.

“Like Social Partnership as a whole, this would have many advantages for both sides. Social partnership is partly responsible for prosperity. It has been creating conditions for economic growth for decades and is also responsible for a well-developed welfare state,” Dollase added.

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In Germany, it is up to each individual worker to decide whether they want to join a union, and the greater the proportion of union-represented workers, the greater the strength of the union in that company, as Dollase clarified in the email. In addition, he explained that workers have the right to elect and facilitate a works council, which can’t be taken away by the company, and unions are allowed to offer up an electoral candidacy list during elections.

The result, Dollase says, is an effective system of businesses that play an important role in Germany’s economy and society. However, he also says individual autonomy in choosing whether or not to join a union plays an equal role in this process.

“This is not an obstacle for productivity, but increases it, and makes an important contribution to stabilizing society and the economy,” Dollase added. “This is why Social Partnership is and remains an important part of our economic system. But it is also characterized by the autonomy of the social partners.”

Tesla’s Giga Berlin elected a works council in 2022, though IG Metall has accused it of being comprised primarily of lower-level leadership workers who are close to executive management (via Wall Street Journal). The leader of the current works council at Giga Berlin recently also opposed a collective labor agreement with IG Metall in a report, saying that union influence would make the company lose its agility.

“We are close to the workforce,” said Michaela Schmitz, leader of Giga Berlin’s works council. “Our agility will be lost if we are influenced from outside.”

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“We are focusing on ourselves in order to find solutions for our employees quickly and without unnecessary escalation and thus make changes happen significantly faster,” said Andre Thierig, senior director of manufacturing at Tesla’s Giga Berlin, in the same piece.

As of writing, Tesla and IG Metall have not responded to Teslarati‘s requests for comment on the ongoing labor efforts.

The statements come as Tesla faces strikes in Sweden, lodged by union IF Metall, and including sympathy strikes from other entities. Despite IF Metall’s attempts to encourage unions around the world to target Tesla, including IG Metall, the German union highlighted autonomy then too, noting the importance of individual workers having the choice as to whether or not they should join a union.

“If IG Metall got to decide, Tesla’s employees would have a collective agreement,” said IG Metall spokesperson Markus Sievers in a statement last month about the encouragement to join strike efforts. “But the initiative must come from the employees.”

One Tesla Sweden worker recently spoke out after being expelled from IF Metall, due to his unwillingness to join the strike. The worker, who asked to remain anonymous, said he is facing “harassment” from the union, adding that he feels “terrified” of them as they “try to make it difficult” for workers. Operationally, the Tesla Sweden employee explains, work has not changed much, despite the labor union’s efforts.

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“The main reason is that I care about the environment and enjoy my job,” the worker said as to why he won’t join the strike. “And I care a lot about our customers too. I want customers to feel safe choosing Tesla.”

Despite this, IG Metall said in October that Tesla workers at Giga Berlin were joining the union in droves, largely due to health and safety concerns. Last January, the union also claimed that workers weren’t getting enough time for “leisure, family and recovery,” once again emphasizing that it thinks Tesla needs a union in Germany.

Tesla gets new neighbor as Germany’s IG Metall union builds office near Giga Berlin

Are you a worker at Tesla’s Gigafactory Berlin or a member of the German union IG Metall? If so, reach out and tell me your thoughts at zach@teslarati.com, find me on X at @zacharyvisconti, or send us your tips at tips@teslarati.com.

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla launches its coolest gift idea ever just a few weeks after it was announced

“Gift one month of Full Self-Driving (Supervised), which allows the vehicle to drive itself almost anywhere with minimal intervention.”

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Credit: Tesla

Tesla has launched its coolest gift idea ever, just a few weeks after it was announced.

Tesla is now giving owners the opportunity to gift Full Self-Driving for one month to friends or family through a new gifting program that was suggested to the company last month.

The program will enable people to send a fellow Tesla owner one month of the company’s semi-autonomous driving software, helping them to experience the Full Self-Driving suite and potentially help Tesla gain them as a subscriber of the program, or even an outright purchase.

Tesla has officially launched the program on its Shop. Sending one month of Full Self-Driving costs $112:

“Gift one month of Full Self-Driving (Supervised), which allows the vehicle to drive itself almost anywhere with minimal intervention. All sales are final. Can only be purchased and redeemed in the U.S. This gift card is valued at $112.00 and is intended to cover the price of one month of FSD (Supervised), including up to 13% sales tax. It is not guaranteed to cover the full monthly price if pricing or tax rates change. This gift card can be stored in Tesla Wallet and redeemed toward FSD (Supervised) or any other Tesla product or service that accepts gift card payments.”

Tesla has done a great job of expanding Full Self-Driving access over the past few years, especially by offering things like the Subscription program, free trials through referrals, and now this gift card program.

Gifting Full Self-Driving is another iteration of Tesla’s “butts in seats” strategy, which is its belief that it can flip consumers to its vehicles and products by simply letting people experience them.

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There is also a reason behind pushing Full Self-Driving so hard, and it has to do with CEO Elon Musk’s compensation package. One tranche requires Musk to achieve a certain number of active paid Full Self-Driving subscriptions.

More people who try the suite are likely to pay for it over the long term.

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Tesla expands Robotaxi app access once again, this time on a global scale

Tesla said recently it plans to launch Robotaxi in Miami, Houston, Las Vegas, Phoenix, and Dallas.

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Credit: Grok

Tesla has expanded Robotaxi app access once again, but this time, it’s on a much broader scale as the company is offering the opportunity for those outside of North America to download the app.

Tesla Robotaxi is the company’s early-stage ride-hailing platform that is active in Texas, California, and Arizona, with more expansion within the United States planned for the near future.

Tesla said recently it plans to launch Robotaxi in Miami, Houston, Las Vegas, Phoenix, and Dallas.

The platform has massive potential, and Tesla is leaning on it to be a major contributor to even more disruption in the passenger transportation industry. So far, it has driven over 550,000 miles in total, with the vast majority of this coming from the Bay Area and Austin.

First Look at Tesla’s Robotaxi App: features, design, and more

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However, Tesla is focusing primarily on rapid expansion, but most of this is reliant on the company’s ability to gain regulatory permission to operate the platform in various regions. The expansion plans go well outside of the U.S., as the company expanded the ability to download the app to more regions this past weekend.

So far, these are the areas it is available to download in:

  • Japan
  • Thailand
  • Hong Kong
  • South Korea
  • Australia
  • Taiwan
  • Macau
  • New Zealand
  • Mexico
  • U.S.
  • Canada

Right now, while Tesla is focusing primarily on expansion, it is also working on other goals that have to do with making it more widely available to customers who want to grab a ride from a driverless vehicle.

One of the biggest goals it has is to eliminate safety monitors from its vehicles, which it currently utilizes in Austin in the passenger’s seat and in the driver’s seat in the Bay Area.

A few weeks ago, Tesla started implementing a new in-cabin data-sharing system, which will help support teams assist riders without anyone in the front of the car.

Tesla takes a step towards removal of Robotaxi service’s safety drivers

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As Robotaxi expands into more regions, Tesla stands to gain tremendously through the deployment of the Full Self-Driving suite for personal cars, as well as driverless Robotaxis for those who are just hailing rides.

Things have gone well for Tesla in the early stages of the Robotaxi program, but expansion will truly be the test of how things operate going forward. Navigating local traffic laws and gaining approval from a regulatory standpoint will be the biggest hurdle to jump.

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Investor's Corner

Tesla gets price target boost, but it’s not all sunshine and rainbows

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Credit: Tesla Europe & Middle East/X

Tesla received a price target boost from Morgan Stanley, according to a new note on Monday morning, but there is some considerable caution also being communicated over the next year or so.

Morgan Stanley analyst Andrew Percoco took over Tesla coverage for the firm from longtime bull Adam Jonas, who appears to be focusing on embodied AI stocks and no longer automotive.

Percoco took over and immediately adjusted the price target for Tesla from $410 to $425, and changed its rating on shares from ‘Overweight’ to ‘Equal Weight.’

Percoco said he believes Tesla is the leading company in terms of electric vehicles, manufacturing, renewable energy, and real-world AI, so it deserves a premium valuation. However, he admits the high expectations for the company could provide for a “choppy trading environment” for the next year.

He wrote:

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“However, high expectations on the latter have brought the stock closer to fair valuation. While it is well understood that Tesla is more than an auto manufacturer, we expect a choppy trading environment for the TSLA shares over the next 12 months, as we see downside to estimates, while the catalysts for its non-auto businesses appear priced at current levels.”

Percoco also added that if market cap hurdles are achieved, Morgan Stanley would reduce its price target by 7 percent.

Perhaps the biggest change with Percoco taking over the analysis for Jonas is how he will determine the value of each individual project. For example, he believes Optimus is worth about $60 per share of equity value.

He went on to describe the potential value of Full Self-Driving, highlighting its importance to the Tesla valuation:

“Full Self Driving (FSD) is the crown jewel of Tesla’s auto business; we believe that its leading-edge personal autonomous driving offering is a real game changer, and will remain a significant competitive advantage over its EV and non-EV peers. As Tesla continues to improve its platform with increased levels of autonomy (i.e., hands-off, eyes-off), it will revolutionize the personal driving experience. It remains to be seen if others will be able to keep pace.”

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Additionally, Percoco outlined both bear and bull cases for the stock. He believes $860 per share, “which could be in play in the next 12 months if Tesla manages through the EV-downturn,” while also scaling Robotaxi, executing on unsupervised FSD, and scaling Optimus, is in play for the bull case.

Will Tesla thrive without the EV tax credit? Five reasons why they might

Meanwhile, the bear case is placed at $145 per share, and “assumes greater competition and margin pressure across all business lines, embedding zero value for humanoids, slowing the growth curve for Tesla’s robotaxi fleet to reflect regulatory challenges in scaling a vision-only perception stack, and lowering market share and margin profile for the autos and energy businesses.”

Currently, Tesla shares are trading at around $441.

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