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Tesla started Friday to furlough its sales and delivery workforce — with the least experienced employees bearing the brunt of the action — days after a companywide email announced salary cuts and reductions due to the COVID-19 pandemic.

Several employees, who work in sales and delivery and spoke to TechCrunch on condition of anonymity, reported they were on corporate calls in which more details of the furloughs were explained. Performance is less of a factor. Instead, experience and position is being used to determine who stays and who is furloughed. Delivery and sales advisors who have been with the company less than two years will be furloughed, according to sources.

CNBC reported earlier Friday that furloughs would impact half of Tesla’s U.S.  delivery and sales workforce. TechCrunch was unable to verify the total number of sales and delivery employees who would be impacted.

The furloughs also come a little more than a week after the end of the quarter, a typically busy time for delivery staff who try to meet lofty internal goals. COVID-19 hampered delivery efforts, although customers were still reporting deliveries in California, New York and other states.

The furlough calls have been expected since an internal email sent April 7 by Tesla’s head of human resources Valerie Workman informed employees that the company would be cutting pay for salaried employees and furloughing others.

It wasn’t clear, until Friday, exactly who might be affected.

The internal email, which was viewed by TechCrunch, told employees that production at its U.S. factories would be suspended until at least May 4 due to the COVID-19 pandemic, requiring the company to cut costs.

Salaried employees will have pay reduced between 30% and 10%, depending on their position. The salary reductions are expected to be in place until the end of the second quarter, according to the email. The salary cuts and furloughs will begin April 13. Employees who cannot work from home and have not been assigned critical onsite positions will be furloughed until May 4, according to the email.


TechCrunch

Arch Rao, the former head of product at Tesla who was behind the company’s Powerwall home energy storage is system, is back with a new company pitching energy management and efficiency for homes.

SpanIO is looking to upgrade the electrical fusebox for homes with a digital system that integrates into the existing circuit breaker technology that has been the basis for home energy management for at least a century. 

Rao and his team are looking to make integrating renewable power, energy storage, and electric vehicles easier for homeowners by redesigning the electrical panel for modern energy needs.

“We packaged the metering controls and compute between the bus bar and the breaker,” says Rao. “Energy flows through the panel through a breaker bar and the breaker bar has tabs that you slot your breakers into… that tab is usually a conductor. We have designed a digital sub-assembly that packages current metering, voltage measurement and ability to turn each circuit on or off.”

The technology is meant to be sold through channels like solar energy installers or battery installers. The company already has plans to integrate its power management devices with energy storage systems like the ones available from LG .

Initially, Span expects to be selling its products in states like California and Hawaii where demand for solar installations is strong and homeowners have significant benefits available to them for installing renewable energy and energy efficiency systems.

For homeowners, the new power management system means that they have control over which parts of the home would be powered in the event of an outage. The company’s technology connects the entire home to a renewable system. Using existing technologies, installers have to set up a separate breaker and rewire certain areas of the home to receive the power generated by a renewable energy system, Rao says.

That control is handled through a consumer app available to download on mobile devices.

SpanIO is backed by a slew of early investors including Wireframe Ventures, Wells Fargo Strategic Capital, Ulu Ventures, Hardware Club, Energy Foundry, Congruent Ventures and 1/0 Capital, and intends to raise fresh cash for before the end of the year. Rao said the round would be “in the low double digits” of millions.


TechCrunch

Tesla said Saturday that its Model 3 interiors are now completely free of leather, fulfilling a promise made by CEO Elon Musk at this year’s annual shareholder meeting.

Tesla has been closing in on a leather-free interior for a couple of years now. But a sticking point was the steering wheel, which Musk made mention of at the company’s shareholder meeting in June in response to a request from PETA activist.

I believe we were close to having a non-heated steering wheel, that’s not leather,” Musk said at the time.There are some challenges when when heat the non-leather material and also how well it wears over time.”

Musk said Model Y and Model 3 would be vegan by 2020. He wasn’t sure if the company would be able to meet that same goal for the Model S and X.

 

 

Activist shareholders made a proposal in 2015 that Tesla no longer use animal-derived leather in the interiors of its electric vehicles by 2019. While stockholders rejected that proposal, Tesla did begin rolling out more “vegan” interior components in its cars.

The company began by offering leather-free seats as an option. Two years ago, Tesla made the synthetic material standard in its Model 3, Model X and Model S vehicles.


TechCrunch

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