Tesla is reducing Gigafactory Nevada workforce by 75%

Tesla has reportedly told authorities that it is reducing its workforce at Gigafactory Nevada, where it produces batteries and powertrains, by 75%.

Earlier this month, Tesla announced that it will temporarily shut down its Fremont factory and Gigafactory New York amid the coronavirus crisis.

At the time, the automaker said that it plans to continue operations at Gigafactory Nevada:

“Operations of our others facilities will continue, including Nevada and our service and Supercharging network.”

Later, we reported on Tesla’s plan to use the factory shutdowns to do upgrades and improvements to its production at several factories, including Gigafactory Nevada.

We also wrote that Tesla was already reducing the workforce at the factory:

“Tesla Gigafactory Nevada is officially still operating, sources familiar with the matter told Electrek that production is being reduced since the plant supports Fremont factory production with electric drivetrains and battery packs.

They also plan to use the downtime to make some upgrades and improvements to the factory.”

Today, Tesla reportedly confirmed that it plans to further reduce its workforce at the plant by “roughly 75%.”

Storey County Manager Austin Osborne wrote on the county’s website:

“Tesla has informed us that the Gigafactory in Storey County is reducing on-site staff by roughly 75% in the coming days. Our companies at TRIC are taking the COVID-19 matter seriously, and regularly report to us the measures they are taking to adhere to the established guidelines while maintaining essential operations. Checking employee temperatures, creating central access, allowing remote work, maintaining workstation distance, and others are occurring.”

Panasonic, who produces battery cells at Gigafactory Nevada, has already announced that it is stopping production amid the crisis.

Electrek’s Take

As we previously mentioned, Tesla produces battery packs using Panasonic cells and drivetrains at Gigafactory Nevada.

Those components are installed on cars produced at Fremont factory so if one factory is shutting down, the other is expected to follow.

The good news is that our sources say that Tesla is going to use that time to make some improvements to its production lines at Gigafactory Nevada.

We could also potentially see Tesla working on its energy storage products.

What do you think? Let us know in the comment section below.