Electric car maker faces workplace safety investigations

June 7th, 2018 by Dakota Software Staff

Cars powered entirely by electric motors have long been considered the next logical step in transportation tech, making the sector an extremely competitive and fast-growing industry. However, this demand for rapid development may come with unintended consequences for workplace safety, as demonstrated by the regulatory inquiries that one prominent electric car manufacturer has become involved in recently.

High growth brings safety concerns

Tesla, Inc. became a household name shortly after the 2012 introduction of its Model S, the first car powered solely by electricity to become the top-selling new car in any country, according to Green Car Reports. As of late 2017, Tesla had delivered more than 200,000 units of the Model S globally, many of them in the U.S. The company has also gained notoriety for its entrance into other markets, like residential solar power and commercial battery design, earning acclaim from environmental groups and others who advocate a shift away from fossil fuels. That's not to mention the public profile of its founder and CEO Elon Musk, who has not shied away from promoting his company's ambitious agenda to compete with a variety of entrenched enterprises in the automotive and energy industries.

In recent years, though, some began to question whether Tesla's desire for rapid growth was realistic. Skepticism from investors and consumers was inflamed in April, when a story from the Center for Investigative Reporting published allegations of unsafe working conditions and questionable reporting standards within Tesla factories.

"Tesla recorded 722 injuries last year, about two a day," the CJR report explained. "The rate of serious injuries, requiring time off or a work restriction, was 30 percent worse than the previous year's industry average."

The article went on to detail some of the injuries within its manufacturing facilities that may have been improperly handled or glossed over in mandatory reporting.

"Alongside the company's remarkable rise, workers have been sliced by machinery, crushed by forklifts, burned in electrical explosions and sprayed with molten metal," the CJR wrote, based on allegations from employees and public records. "Frantic growth, constant changes and lax rules, combined with a CEO whom senior managers were afraid to cross, created an atmosphere in which few dared to stand up for worker safety, the former environment, health and safety team members told [CJR]."

One well-known electric car maker is the subject of an investigation into its working conditions.

Tesla's response and future outlook

Soon after the CJR article was published, California's Department of Occupational Safety and Health announced it would launch an investigation into Tesla's operations. In response, Tesla said it would cooperate with investigators, but rejected several claims made in the CJR report.

An official statement via email reported by Bloomberg argued that injury rates at its Fremont, California, factory were lower than when the same facility was owned and operated by Toyota Motor Corp and General Motors. Another official response on Tesla's blog called the CJR report "an ideologically motivated attack by an extremist organization working directly with union supporters to create a calculated disinformation campaign against Tesla."

The story adds yet another layer of complexity in the global effort to make mass-produced cars as sustainable for their manufacturers as they may be for the environment.