Report Reveals That Tesla Motors Inc (NASDAQ:TSLA) Nevada Jobs Less Than Estimated

December 8, 2016 - By Ruchi Gupta   ·   0 Comments

A report by a consultant has indicated that the number of jobs that Tesla Motors Inc (NASDAQ:TSLA) was supposed to create at its manufacturing plant in Nevada has fallen below projections. The projections had been communicated to state legislators when they were passing a tax incentive worth approximately $1.3 billion in a bid to entice the electric car maker to locate its giant battery manufacturing factory in Nevada. The report says that so far, 331 jobs have been created against a projection of 1,700 jobs. The report was prepared by Grant Thornton as part of an independent audit.

Hiring continues even as Tesla Nevada jobs less than estimated

A spokesperson from Governor’s Office of Economic Development explained that the discrepancy was as a result of a change in the construction plans of the automaker.

“They decided to do a more phased-build approach. They wanted it to be operational at the same time they were building it,” said Jennifer Cooper, the spokesperson regarding the report that Tesla Nevada jobs less than estimated.

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The spokesperson for the Governor’s Office of Economic Development added that they were not concerned since Tesla was reaching the thresholds that had been agreed upon.

Despite the report, the Tesla battery manufacturing factory is currently recruiting. In a few days time, there will be a job fair in Las Vegas to recruit workers who will be willing to relocate to Northern Nevada at the battery manufacturing plant.

Nevada residents benefit

Since the start of the project two years ago, 89% of the employees Tesla has hired have been residents of Nevada. The audit further revealed that the average wage was $53.18 an hour. Construction of the factory created employment for 540 construction workers, 63% of whom were residents of Nevada. Once completed, the plant will manufacture batteries for Tesla cars as well as energy storage units for enterprises and households. While the report shows that Tesla Nevada jobs less than estimated, the situation is expected to be different once the plant is completed and working at full capacity.

in Wednesday’s trading, Tesla Motors Inc’s share price edged up 3.93% to close the day at $193.15 per share.

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By Ruchi Gupta

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