Elon Musk ‘battles’ the harsh work policy: The goal of 40 hours/week is impossible, the office does not have enough seats, equipment

In May, Tesla CEO Elon Musk announced that all employees would have to return to the office, with a minimum of 40 hours of “dedication” per week. Three months after this statement was made, Tesla has so far not had the space and resources to implement the new work policy. The harshness has caused Tesla’s staff morale to drop, especially for those who were allowed to work remotely before the pandemic.

After expanding its workforce in recent years, Tesla has focused on building international hubs and a factory in Texas. That’s the goal, but the electric car company has not yet built enough new offices. Facilities in Nevada and California also do not have the necessary equipment, so office workers and workers with long-term contracts cannot come to the office for up to 40 hours a week.

According to a source from CNBC, Tesla’s plan is to bring employees in the San Francisco Bay area (California) to the office three days a week. However, the lack of chairs, workplaces, parking spaces and a number of other resources led Elon Musk to cut his time at the office to 2 days a week.

Even simple devices such as connecting wires and charging cords are in short supply. On busy days, many people have to go out to make calls because Tesla doesn’t have enough meeting rooms or office phone booths to serve everyone.

According to CNBC, Tesla is currently monitoring employee attendance. Detailed reports of each person’s weekly absences are recorded. According to internal records, at the beginning of September, on a typical working day in Fremont, California, where Tesla’s first electric vehicle assembly plant is located, about one in eight employees was not at the office. For all Tesla offices, in a normal working day, the number of employees absent accounts for 1/10. This rate has not changed much from March, when Musk made the request to come to the office, and even spiked on weekends and near holidays.

Before the pandemic, managers at Tesla allowed some groups of employees to work flexibly. Musk’s strict requirements would, in theory, remove this entitlement. However, some special employees will still be considered.

In early June, shortly after Musk required all employees to work a minimum of 40 hours a week, Tesla announced massive staff cuts. At that time, Tesla’s human resources department asked employees who lived far away from the company if they could move home and go to the office. The employees who refused were all fired in June without warning.

The most difficult are the migrant workers. They can lose their visa at any time if suddenly fired by the company. The harsh policy makes Tesla lose a great advantage in recruiting and retaining loyal talent. A lot of people have applied for leave because they want more flexibility and security.

With a policy that is said to be extremely draconian and underestimates this realistic need and desire of many American workers, Musk thinks he can better manage and utilize labor. But according to many experts, this authoritarianism does more harm than good and will cause more and more talented people to leave the Tesla empire.

Apparently, Tesla’s policies have overlooked 60% of US workers – who are working remotely after the pandemic, according to a recent survey by the Pew Research Center. In particular, women and some vulnerable workers are especially likely to want to work from home full-time to take care of their children and families. Feeling sexist at the office is also one of the reasons why they no longer want to come to the company to work directly.

However, in a 2021 Tesla report, the company said it prides itself on how it helps employees feel connected, even when working remotely.

“ During the pandemic, we’ve put a lot of focus on increasing our community contribution and making sure our employees stay connected. Specifically, we extend the source worker group (ERG) and make sure the program is remotely accessible. We make sure our employees feel more heard and connected than ever before when they participate in virtual events that promote internal inclusion .”

Earlier, Elon Musk also implied that Americans ” try to avoid going to work “, while Chinese employees “do n’t mind going to shift at 3 am “.

” There are a lot of talented, hard-working people in China, and they believe in manufacturing ,” Musk said in an interview with the Financial Times on May 10. ” They stay up late, work until midnight, even at 3 a.m. ”

Meanwhile, many still praise the South African billionaire’s ability to evaluate and recruit talent, although they also note that workers who do not memorize the rules set by Elon Musk can soon to leave.

“ If Elon Musk sees bad points in you, the possibility of you having to leave is quite high. He hires the best people to work for him. He’s a smart guy, so he knows how to hire smart people, ” said Carl Medlock, a former Tesla regional director. “ Elon Musk is a good man. Smart mind is also what makes this man scary, but if viewed in a positive way, it’s good for business ”.

In addition, Carl Medlock also candidly shared about Elon Musk’s somewhat draconian leadership style. The former boss said the Tesla CEO “has no courtesy” at work and rarely interacts with subordinates, unless he needs to solve an urgent problem.

“ You shouldn’t argue with Elon Musk. If Musk decides “this is going to be the direction we’re going,” the best thing you can do is go in that direction. Elon Musk is not one to be disobeyed,” said Carl Medlock.

By: CNBC, Bloomberg