This is Why Tesla Told its Employeses that Production on the Model S and X Will Shut Down for 18 Days

Electric vehicle maker Tesla has informed its Fremont, California factory employees that it will be shutting down production on its high-end electric vehicles, the Model S sedan and Model X Suv for 18 days starting on December 24th.

CNBC has confirmed the move citing an e-mail seen that was sent to factory employees. The
employees working on the lines were told they were being given a full week of pay for the forced time off, but were also encouraged to seek shifts working for, or even volunteering in, other parts of the business for the remaining unpaid days.

CEO Elon Musk also said in a seperate e-mail that the company is “fortunate to have the high-class problem of demand being quite a bit higher than production this quarter.” Musk had asked for employees to increase production as much as possible during the rest of the quarter.

The follow e-mail was sent to production employees working on the Model S and Model X SUV and has been transcribed by CNBC:

Subject: S/X Holiday Shutdown

Hi Team,

The SX lines will be shut down for the holidays starting Dec. 24th and returning Jan. 11th.

We would like you to take the opportunity to refresh or spend time with your family, so Tesla will be giving you a full week pay for the week of Jan. 4th. There will also be limited paid opportunities for you to support other shops or volunteer for deliveries during some of this time.

Dec. 23rd – last day of work before shutdown

Dec. 24th-25th – Paid holidays*

Dec. 28th-30th – Unpaid time off (may use PTO**), support deliveries or other shops.

Dec. 31st-Jan. 1st – Paid Holiday*

Jan. 4th – 8th – Paid time off (40 hours)

Jan. 11th – return to work

If you would like to volunteer for deliveries for Dec. 26th — Dec. 31st, or support other shops from Dec. 28th – Dec. 30th, please use the survey below to let us know your preference. We will do our best to accommodate your requests, but preferences are not guaranteed and will be granted on a first come first serve basis.

The separate email from Musk to all employees (as transcribed by CNBC) reads:

Subject: Vehicle Production

We are fortunate to have the high class problem of demand being quite a bit higher than production this quarter.

To ensure that we have the best possible customer outcome and earn the trust of the customers and investors who have placed their faith and hard-earned money with us, we need to increase production for the remainder of the quarter as much as possible.

I would only send this note if it really mattered.

Super appreciated,
Elon

Btw, please send me a note directly if you see ways to improve output, but feel that your voice is not being heard.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.