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Musk: Tesla Employee Sabotaged Operations

20 June, 2018, 04:28 | Author: Lawrence Cooper
  • Elon Musk emails Tesla workers about 'extensive and damaging sabotage' by an employee

The message, first reported by CNBC, noted the person used false credentials to manipulate Tesla's manufacturing software, as well as exporting "large amounts" of highly sensitive Tesla data to unknown third parties.

Elon Musk has urged paranoia among his staff after Tesla suffered "extensive and damaging sabotage" by an employee and a fire that paused production of his Model 3 cars.

In this Sunday, May 27, 2018, photo a pair of 2018 Model 3's sit at a Tesla dealership in Littleton, Colo.

Last week, Musk announced that 9% of the company's workforce was being laid off, without specifying an exact number. "If they're willing to cheat so much about emissions, maybe they're willing to cheat in other ways?" he wrote. While he says this could be a random event, Musk quotes former Intel CEO Andy Grove's "Only the paranoid survive" warning.

But documents the company filed days later with the state of California show that more than 400 workers will be terminated at its Fremont factory, including dozens of directors, managers, technicians and other workers in manufacturing, engineering and quality inspection.

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Musk can not afford for Tesla to fail. It's racing to meet a target to build 5,000 Model 3s a week by the end of this month, a goal Musk told shareholders on June 5 that the company was "quite likely" to achieve.

To pump up auto production, Tesla needed a new general assembly line - but didn't have time to construct a new building, according to a Musk tweet.

The leaked email, sent to Tesla's roughly 40,000 staff, said the matter was being was being investigated. Production has resumed and there were no injuries or significant equipment damage, she added. The findings are mixed about whether that leaves the company enough margin to sell the cars at $35,000 and still cover investments in future product, expand its Supercharger network, and accommodate increased production costs from the assembly line that now takes more manual labor than Musk originally planned. "Then there are the oil & gas companies, the wealthiest industry in the world - they don't love the idea of Tesla advancing the progress of solar power & electric cars", Musk said.

Tesla is no stranger to concerns of sabotage. The cuts came just weeks ahead of a crucial Model 3 production milestone for the electric automaker, which the Tesla CEO said will not be affected by the mass dismissals.

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