News
Tesla responds to allegations of unjust pay and visa violations
Tesla has issued a response to this weekend’s report that a factory worker who worked on the company’s high-volume paint shop at Fremont, CA plant was part of a group of foreign workers that were paid $5/hr and operated outside the terms of their visas.
The story has gained attention after the San Jose Mercury published a report of its recent investigation on Gregor Lesnik’s suit against the electric vehicle maker and several other defendants for unfair treatment in a workplace. The Mercury reports that a Slovenian company called ISM Vuzem flew Lesnik and a group of foreign workers to the U.S. while housing them in “nondescript apartments” where they would be shuttled from and to the Tesla plant to work six to seven days a week at low wages.
Among the claims in the lawsuit via the Mercury:
- Eisenmann USA wrote letters to the U.S. Embassy on behalf of Lesnik and as many as 200 foreign workers stating they would supervise employees at a U.S. auto plant. Most of the Vuzem workers were nonsupervisory laborers and tradesmen.
- Tesla issued company security badges to the foreign workers, recorded their time on site and shared responsibility for setting safety conditions.
- Vuzem required foreign employees to regularly work between 60 and 70 hours a week. Vuzem paid Lesnik an average of 800 euros per month, or about $900, for a rate of less than $5 per hour. Lesnik was promised an equal amount when he returned home, but the company never paid the balance.
- The companies violated wage and employment laws and benefitted from the cheap labor of foreign workers. Workers were promised $12.70 an hour based on a standard workweek. The suit estimates they are due $2.6 million in overtime and premium pay.
Tesla has issued a response to the story defending their stance that the company operated within legal limits stating that Lesnik’s claim is a moral issue at heart, but the company will see to it that the right thing happens and all are treated fairly should the claims be true.
According to Tesla’s issued response, Lesnik’s accident as a result of slipping on loose tile and falling three stories while working on the company’s high-volume paint shop, was investigated by the government regulator that oversees workplace accidents (Cal/OSHA) and found to be not at fault of the company. Tesla’s statement says, “When Mr. Lesnik brought a workers compensation case, Tesla was dismissed from the case because the judge concluded that we had no legal responsibility for what occurred.”
Here’s a copy of Tesla’s full response to the story.
“At Tesla, we aspire to operate on the principles of hard work and exceptional performance, but always tempered by fairness, justice and kindness. There are times when mistakes are made, but those are the standards to which we hold ourselves. With respect to the person at the center of this weekend’s article in the Mercury News, those standards were not met. We are taking action to address this individual’s situation and to put in place additional oversight to ensure that our workplace rules are followed even by sub-subcontractors to prevent such a thing from happening again.
Gregor Lesnik was brought to the Tesla factory by a company called ISM Vuzem, a sub-contractor brought in by Eisenmann, the firm that we hired to construct our new, high-volume paint shop. We contracted with Eisenmann for the simple reason that we do not know how to build paint shops and they are regarded as one of the best, if not the best, in the world. In our dealings with them, we have found them to be an excellent company, run by good people.
The article describes how Mr. Lesnik came to this country, the conditions under which Vuzem employed him and others to do their work, and how Mr. Lesnik ended up being injured while on the job. Assuming the article is correct, we need to do right by Mr. Lesnik and his colleagues from Vuzem. This is not a legal issue, it is a moral issue. As far as the law goes, Tesla did everything correctly. We hired a contractor to do a turnkey project at our factory and, as we always do in these situations, contractually obligated our contractor to comply with all laws in bringing in the resources they felt were needed to do the job.
Regarding the accident that resulted in Mr. Lesnik being injured, Cal/OSHA (the government regulator that investigates workplace accidents like these) came to our factory, investigated the incident and found that Tesla was not responsible. When Mr. Lesnik brought a workers compensation case, Tesla was dismissed from the case because the judge concluded that we had no legal responsibility for what occurred.
All of that is fine legally, but there is a larger point. Morally, we need to give Mr. Lesnik the benefit of the doubt and we need to take care of him. We will make sure this happens. We do not condone people coming to work at a Tesla facility, whether they work for us, one of our contractors or even a sub-subcontractor, under the circumstances described in the article. If Mr. Lesnik or his colleagues were really being paid $5 an hour, that is totally unacceptable. Tesla is one of the highest paying hourly employers in the US automotive industry. We do this out of choice, because we think it is right. Nobody is making us do so.
Tesla will be working with Eisenmann and Vuzem to investigate this thoroughly. If the claims are true, Tesla will take action to ensure that the right thing happens and all are treated fairly.
Creating a new car company is extremely difficult and fraught with risk, but we will never be a company that by our action does, or by our inaction allows, the wrong thing to happen just to save money.”
News
Tesla Europe builds momentum with expanding FSD demos and regional launches
Needless to say, it appears that Tesla is putting in some serious effort into boosting sales in Europe this year.
Tesla has been notably active across Europe in recent weeks, expanding its Full Self-Driving (Supervised) ride-along program, entering a new market, and showcasing its newest vehicles across multiple regions.
Needless to say, it appears that Tesla is putting in some serious effort into boosting sales in Europe this year.
Tesla Europe recently announced the expansion of its FSD (Supervised) ride-along experiences, inviting the public to experience the system on local roads. Initially available in Italy, France, and Germany when it launched, the program has now expanded to Hungary, Finland, and Spain.
The ride-along program allows participants to ride in the passenger seat and observe how FSD Supervised handles real-world traffic scenarios, including dense urban driving and other challenging conditions. Tesla has positioned the initiative as a way to familiarize European drivers and regulators with the system’s capabilities in everyday use. The program has received positive reviews so far, with many being impressed by FSD’s real-world capabilities.
Tesla also recently launched operations in Slovakia with a pop-up store and multi-day public event in Bratislava, as noted in an EV Wire report. The launch, held from January 16 to 18 at the Eurovea Mall Promenade, featured test drives, vehicle displays, including the Cybertruck, as well as family-focused attractions such as a mini-Tesla racetrack.
Local observers noted that Tesla Optimus was also shown at the event, while the Tesla Owners Slovakia club welcomed the brand with a coordinated light show near the Slovak National Theater. Tesla Europe later shared its appreciation for Slovakia in a post on its official social media account on X, stating, “Thanks, Slovakia, for the amazing last 3 days & for giving us such a warm welcome!”
Tesla’s Slovakia entry follows a familiar pattern used by the company in other European markets. Tesla opened a pop-up store in Bratislava as an initial step, with plans for a permanent showroom and a potential service center at a renovated site previously occupied by a Jeep and Dodge dealership. Tesla has used a similar approach in markets such as Czechia and Lithuania, where permanent facilities followed within a few months of pop-up launches.
Slovakia already has six Supercharging sites totaling 46 Superchargers, including two locations in Bratislava, providing early infrastructure support for Tesla owners. Tesla staff program manager Supratik Saha described the Slovakia launch as a strategic expansion in the heart of the EU, citing the country’s strong automotive manufacturing base and appetite for advanced technology.
Beyond the EU, the company also marked another milestone with the first Cybertruck deliveries in the United Arab Emirates, signaling continued geographic expansion for Tesla’s newest vehicle. Just like Tesla Slovakia, the Cybertruck also received a warm welcome from the UAE’s EV community.
News
Tesla Sweden maintains Trelleborg port deal despite union blockade
As noted in a report from Dagens Arbete (DA), Tesla was able to maintain its storage agreement with the Port of Trelleborg.
Tesla Sweden is still storing vehicles at the Port of Trelleborg despite the ongoing blockades against the company from the country’s labor unions.
Tesla still at Port of Trelleborg
As noted in a report from Dagens Arbete (DA), Tesla was able to maintain its storage agreement with the Port of Trelleborg. This allows the company to keep vehicles at the port while imports into Sweden continue. This was despite the Transport Workers’ Union’s blockade, which was aimed at halting the loading and unloading of Tesla vehicles in the area.
Local union leader Jörgen Wärja, chairman of Transport and an employee representative on the port company’s board, confirmed that the agreement was still active. “The agreement has not been terminated. You want to have the money instead of having empty warehouses. I understand the reason, but I do not support it,” Wärja said
The local union leader also noted that he visited Tesla’s storage area earlier this week. “There were a lot of cars. I was surprised that there were so many, actually,” he said.
Tesla had been able to bring vehicles into Sweden via passenger ferries at Trelleborg, a method that unions said allowed the company to bypass the blockade, DA noted. According to estimates from IF Metall, the workaround enabled Tesla to deliver thousands of cars to Sweden each year.
Port defends decision
The Port of Trelleborg did not issue a comment on its current agreement with Tesla, but said it had complied with union sympathy measures. Documents reviewed by Swedish media showed that the contract with Tesla was being extended in six-month intervals.
Port CEO Malin Collin noted that the port would not discuss individual customer arrangements. “We do not go into details regarding any customer agreements. We have continuous dialogue with potential tenants, and this is not unique to any location,” Collin wrote in an email.
The CEO added that the port was following legal requirements related to the labor dispute. “We have taken note of the Transport Workers’ Union’s decision on sympathy measures and are of course following applicable legislation and the requirements placed on us as employers,” Collin said.
Jörgen Wärja, for his part, stated that the issue was not whether Tesla’s imports into Sweden could be fully stopped, but whether the port should provide logistical support to the electric vehicle maker during an active conflict. “The port shouldn’t have anything to do with Tesla at all, we believe,” he said. “It’s purely moral. Whether you honor a conflict or not. If you say you support Transport’s sympathetic actions against Tesla, it becomes a double standard.”
Elon Musk
Elon Musk shares insights on SpaceX and Tesla’s potential scale
In a pair of recent posts on X, Musk argued that both companies operate in domains where growth is not linear, but exponential.
Elon Musk outlined why he believes Tesla and SpaceX ultimately dwarf their competitors, pointing to autonomy, robotics, and space-based energy as forces that fundamentally reshape economic scale.
In a pair of recent posts on X, Musk argued that both companies operate in domains where growth is not linear, but exponential.
Space-based energy
In a response to a user on X who observed that SpaceX has a larger valuation than all six US defense companies combined, Musk explained that space-based industries will eventually surpass the total economic value of Earth. He noted that space allows humanity to harness roughly 100,000 times more energy than Earth currently uses, while still consuming less than a millionth of the Sun’s total energy output.
That level of available energy should enable the emergence and development of industries that are simply not possible within Earth’s physical and environmental constraints. Continuous solar exposure in space, as per Musk’s comment, removes limitations imposed by atmosphere, weather, and land availability.
Autonomy and robots
In a follow-up post, Elon Musk explaned that “due to autonomy, Tesla is worth more than the rest of the auto industry.” Musk added that this assessment does not yet account for Optimus, Tesla’s humanoid robot. As per the CEO, once Optimus reaches scaled production, it could increase Earth’s gross domestic product by an order of magnitude, ultimately paving the way for sustainable abundance.
Even before the advent of Optimus, however, Tesla’s autonomous driving system already gives vehicles the option to become revenue-generating assets through services like the Tesla Robotaxi network. Tesla’s autonomous efforts seem to be on the verge of paying off, as services like the Robotaxi network have already been launched in its initial stages in Austin and the Bay Area.
Tesla Europe builds momentum with expanding FSD demos and regional launches
Tesla Sweden maintains Trelleborg port deal despite union blockade
