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Tesla raises wages for U.S. production workers as UAW drive looms
Tesla has increased wages at its U.S. production plants to begin the year, joining other non-unionized automakers following a successful set of strikes against the “Big Three” from the country’s largest automotive union.
After the United Automotive Workers (UAW) union successfully garnered wage increases at Ford, General Motors (GM) and Dodge-Chrysler parent company Stellantis through historic, six-week strikes in the fall, automakers Hyundai, Honda and Toyota went on to boost pay at their non-unionized U.S. factories in November. Later in the month, the UAW officially announced a union drive at 13 automakers with U.S. facilities, including Tesla, Hyundai, Honda and Toyota.
Now, Tesla has raised wages for workers at its U.S. factories, including production employees, material handlers, and quality inspectors, according to a flyer posted at the company’s factory in Fremont, California, which was seen by Bloomberg. The document didn’t show how much wages were increased, though Tesla wrote on the flyer that the workers were receiving a “market adjustment pay increase.”
Just as many speculated about union efforts after Hyundai, Honda and Toyota increased pay at their factories, Tesla’s latest wage hikes were spotted by UAW President Shawn Fain, who compared it to recent pay boosts at other non-unionized automakers.
“Tesla is now following in the footsteps of Toyota, Hyundai, Volkswagen, and almost every other car company in raising wages in the wake of our historic victory,” Fain said in a statement on Thursday.
He also added that the wage increases “fall far short of what the companies can afford and what autoworkers are worth,” though he didn’t share additional specifics about how much the pay bumps were for. Fain also said that, following the historic six-week strikes against the Big Three that led to contract-bound pay increases, he believes the UAW “can beat anybody.”
As of writing, Tesla has not responded to Teslarati‘s requests for comment.
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In October, Fain said that the UAW would be targeting the “Big Five or Big Six” in the next round of contract negotiations in 2028, highlighting hopes to unionize Tesla, Volkswagen, and other automakers with U.S. facilities that do not have union contracts in place for their employees. In a prior statement, he said that workers at Toyota, Tesla and others that were not represented by the union were not enemies, but rather were “union members of the future.”
Many have argued that Tesla’s workers in the U.S. are not interested in joining a union, since the Tesla shares they receive as a benefit are considered to be worth more than the pay increases or safety improvements that could be garnered by a union. CEO Elon Musk has also been outspoken about unions for many years, calling them corrupt and not worthwhile compared to Tesla’s employee share program. In 2022, he also invited the UAW to hold a union vote at its Fremont factory, suggesting that Tesla workers themselves wouldn’t be interested in unionizing.
The UAW stole millions from workers, whereas Tesla has made many workers millionaires (via stock grants). Subtle, but important difference.
— Elon Musk (@elonmusk) March 29, 2022
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Tesla has quietly opened a public interest form for companies that want to buy fleets of its purpose-built Cybercab robotaxis, marking the first official channel for commercial purchases of the two-seat autonomous vehicle. The form went live on September 3, the same day Tesla hosted an invite-only Cybercab launch event in Austin, Texas.
Tesla titled the page “Help Us Build Our Robotaxi Network.” Applicants provide name, email, phone number, company name, and deployment region. They then select one or more categories: Cybercab fleet vehicle purchasing, mobility hubs and infrastructure, event collaboration, or other. Tesla says a representative will follow up with those who express commercial interest.
Tesla has introduced a new form that you can fill out if you are interested in purchasing a fleet of Cybercabs:
Form: https://t.co/Ut0yoiEyXD pic.twitter.com/uuaCXmksIO
— Sawyer Merritt (@SawyerMerritt) September 3, 2026
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Until now, the company had no public ordering path for the vehicle, which was first shown as a concept at the October 2024 “We, Robot” event.
The Cybercab is designed from the ground up for unsupervised operation. It has no steering wheel and no pedals.
Regulatory filings list a 48-kilowatt-hour battery, a single 219-horsepower front motor, a curb weight of 3,113 pounds, and an EPA-adjusted range near 290 to 300 miles. Tesla has already registered dozens of the vehicles with Texas authorities and has been testing them on public streets around Austin.
Tesla Cybercab sightings broaden well outside of Austin with autonomy in focus
The company’s existing Robotaxi service, which currently uses modified Model Y vehicles in parts of Texas and Florida, is expected to add Cybercabs as production ramps up at Gigafactory Texas.
The form signals that Tesla is preparing to treat the Cybercab as more than an in-house fleet asset. Investors and operators have discussed buying groups of the vehicles and placing them on Tesla’s ride-hailing network, with Tesla taking a platform fee. High-profile figures have publicly stated plans to acquire fleets if Tesla allows third-party ownership.
The new page gives those parties a direct way to register interest rather than waiting for a conventional configurator.
Whether the form leads quickly to firm purchase agreements remains unclear. Regulatory approval for widespread unsupervised operation still varies by state, and Tesla has not published pricing or delivery timelines for fleet customers. The company has previously discussed a target price near $25,000 to $30,000 per vehicle.
For now, the form is an early signal that Tesla wants partners to help scale the network rather than operate every Cybercab itself.
Pairing the launch of the Cybercab fleet form with the Austin event is no coincidence. Tesla is inviting businesses to participate in the next phase of its Robotaxi plan at the moment the production vehicle first appears in public.
Tesla has updated its Robotaxi app so riders can pick which vehicle they want before they book. The latest in-app screens now show two options side by side: the two-seat Cybercab and the four-seat Model Y.
A screenshot circulating Thursday shows the change in practice. In Austin, a rider could choose a gold Cybercab for two people or a Model Y for four. Tesla’s updated description calls Cybercab “our first purpose-built autonomous vehicle,” designed for safety, accessibility, and comfort, and says the lineup is available only through the Robotaxi app.
Tesla has updated their Robotaxi page in the App Store. You’ll be able to select if you want a Cybercab or Model Y Robotaxi.
“Our Robotaxi vehicle lineup now includes Cybercab, our first purpose-built autonomous vehicle. Designed for safety, accessibility and comfort, Cybercab… pic.twitter.com/Jff4klilDr
— Sawyer Merritt (@SawyerMerritt) September 3, 2026
The distinction is more than cosmetic, and it’s important to note that Robotaxi refers to the platform, while Cybercab refers to a vehicle.
Model Y Robotaxis have carried the service since it opened in Austin in mid-2025 and later expanded to Dallas, Houston, and parts of Florida. Those vehicles are converted production SUVs that still have steering wheels and pedals.
Cybercab is different. It has no driver controls, butterfly doors, a low seat height meant to work with wheelchairs, extra trunk space for assistive devices, and braille on the handles. Tesla has registered dozens of the two-seaters with Texas regulators in the days leading up to its September 3 Austin event.
Giving riders a choice lets Tesla match the vehicle to the trip. Most rides involve one or two people, which is where Cybercab is meant to be cheaper and more efficient to operate. Groups of three or four, or anyone who needs more space, can still request a Model Y.
The same app handles booking, payment, cabin settings, and, on Cybercab, features such as phone-based door opening and in-cabin voice controls.
The update does not mean every city suddenly has both cars available. Cybercab support is listed for Austin first, and the purpose-built fleet is still small compared with the existing Model Y roster. Even so, the app change marks a shift from a single-vehicle pilot to a mixed fleet.
Riders can now choose between the compact, purpose-built robotaxi and the familiar SUV that launched the service.
Tesla Cybercab sightings are broadening far and wide, well outside of downtown Austin, Texas, with autonomy in focus as the company plans to launch the all-electric, two-seater this evening in the Lone Star State.
Tesla is set to launch Cybercab to a small group of people this evening in a dedicated event in Austin, Texas. Public details on the event are relatively slim.
However, Tesla’s focus on Cybercab falls well outside of the downtown Austin area and is expanding well across the United States as things continue to move quickly with the company’s autonomous efforts in 2026. Today, various images of Cybercab fleets in interesting locations have started to circulate.
The most notable is a fleet of at least 20 Cybercabs at Miami International Airport in Florida. Spotted last night, the fleet is expansive and is indicative of a looming release of Cybercabs once regulatory boxes are checked off.
Tesla has already been operating the Robotaxi platform in Miami for several months, but this Cybercab fleet at the airport could be joining the ride-hailing platform as approvals arrive:
20+ Cybercabs spotted near Miami international airport. pic.twitter.com/ORLsw8yFhf
— Sawyer Merritt (@SawyerMerritt) September 3, 2026
Another fleet of Cybercabs was spotted at the Devon, PA showroom just outside of Philadelphia. We have seen several Cybercab units testing around the Philadelphia Metro Area, which is interesting considering Tesla does not have any active Robotaxi geofence in Pennsylvania.
Cybercab at the Devon location in PA has multiplied over the weekend. Seeing a few more test vehicles in the lot 👀 pic.twitter.com/DhJT4P1EkU
— Billy (@billykyle) August 22, 2026
Philadelphia would be an ideal location to test ride-hailing due to its dense tourist population, large, sprawling city layout, and to compete with other ride-hailing companies that operate in the city.
Expansive fleets of Cybercabs will be popping up in and around major cities throughout the rest of the year, if we were betting on it. Tesla has made it obvious that the Cybercab rollout will be aggressive and fast-paced, but within reason. Tesla is still prioritizing safety, so these testing phases will likely go on for some period of time before more members of the public are able to snag a Cybercab for a personal chariot.
Tesla hints its already prepping for Cybercab fleet orders
Tesla Robotaxi riders will face the best dilemma when booking a ride
