• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
China

Elon Musk’s Tesla factory workers sleeping on-site and working 12-hour shifts six days a week

By
Chloe Taylor
Chloe Taylor
Down Arrow Button Icon
By
Chloe Taylor
Chloe Taylor
Down Arrow Button Icon
May 10, 2022, 10:26 AM ET

Workers at the Tesla factory in Shanghai have reportedly been sleeping on-site and working 12-hour shifts with just one day off per week.

With the Chinese government continuing to pursue its zero-COVID strategy, Shanghai has been stuck in lockdown for more than six weeks, leading to new disruptions in production for the U.S. carmaker.

Reuters reported that output at the Gigafactory 3 plant had been halted, but Tesla said it had received no notice the factory had ceased to operate and that some cars were still being made there. 

An internal memo seen by Reuters claims the factory will manufacture fewer than 200 vehicles on Tuesday, a massive drop from the roughly 1,200 units it has been building each day since reopening on April 19.

In late March, Tesla’s Shanghai plant was shut down as the city grappled with a surge in COVID cases caused by the highly transmissible Omicron variant of the virus.

But in April, the company was permitted to resume operations under China’s so-called closed-loop system, under which a company’s employees live on-site and are tested regularly, enabling the firm to operate while preventing outbreaks of the coronavirus.

Prior to the lockdown, workers at Tesla’s Shanghai plant worked three shifts covering 24 hours, seven days a week, Bloomberg reported.

But under the closed-loop system, employees are working 12-hour shifts, six days a week, according to Bloomberg.

A spokesperson for Tesla was not available for comment when contacted by Fortune.

The plant’s workforce was reportedly sent a memo before it entered into the closed-loop system, detailing what employees could expect.

The company said at the time that it would provide workers with a mattress and sleeping bag, with employees having to sleep on the floor due to there being no purpose-built dorm.

Other spaces would be designated for entertainment, showering, and dining, the memo said.

Until recently, Tesla was reliant on two factories—its plants in California and Shanghai—for the production of its vehicles.

The electric vehicle maker opened factories in Berlin and Texas in March and April respectively, with the latter serving as the company’s new global headquarters.

Employees living at their place of work in Shanghai isn’t a phenomenon unique to Tesla: As the city’s stringent lockdown measures rage on, authorities have been encouraging companies to adopt the closed-loop system to keep the economy going.

More than 20,000 bankers and traders in the city were reported to have been living at their offices last month, as financial services firms adopted the closed-loop system.

Meanwhile, Shanghai Port, the world’s busiest seaport, is reported to have maintained a 24-hour operation by implementing the policy.

When the city’s lockdown began at the end of March, General Motors’ joint venture with China’s SAIC Motor reportedly told employees at its Shanghai plant to sleep on the factory floor so that production could continue.

And workers who were locked in at Volkswagen’s Shanghai plant were reportedly treated to movie nights when they moved into the factory.   

Spokespeople for GM and Volkswagen were not available for comment.

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.
About the Author
By Chloe Taylor
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

Man in t-shirt and jeans waving while walking
EconomyNetflix
Reed Hastings’s exit from $455 billion Netflix ‘had nothing to do with’ the failed Warner Bros. deal, says Ted Sarandos
By Amanda GerutApril 16, 2026
2 hours ago
An image of Joe McCann
CryptoCryptocurrency
Meet Joe McCann: the high-flying crypto trader held in Tanzania after sudden death of his influencer fiancée Ashly Robinson
By Jack KubinecApril 16, 2026
4 hours ago
A young person looks at home listings.
Real EstateGen Z
Gen Z is carving a different path in the housing market by doing it alone
By Jake AngeloApril 16, 2026
4 hours ago
Manycore, the first of the Hangzhou ‘Little Dragons’ to go public, pushes ‘spatial intelligence’ as the next wave of AI development
AsiaHong Kong
Manycore, the first of the Hangzhou ‘Little Dragons’ to go public, pushes ‘spatial intelligence’ as the next wave of AI development
By Nicholas GordonApril 16, 2026
4 hours ago
Zohran Mamdani
Personal FinanceTaxes
NYC Mayor Zohran Mamdani points at Ken Griffin’s $238 million penthouse on Tax Day: ‘Today we’re taxing the rich’
By Catherina GioinoApril 16, 2026
5 hours ago
infantino
PoliticsWorld Cup
Iran will ‘for sure’ play in World Cup, FIFA chief Infantino says
By The Associated Press and Nick LichtenbergApril 16, 2026
5 hours ago

Most Popular

Jeff Bezos pledged $10 billion for climate change. With the 2030 clock ticking, his wife, Lauren Sánchez Bezos, is leading the charge to spend it
Environment
Jeff Bezos pledged $10 billion for climate change. With the 2030 clock ticking, his wife, Lauren Sánchez Bezos, is leading the charge to spend it
By Sydney LakeApril 15, 2026
1 day ago
Billionaire philanthropist MacKenzie Scott has donated again—a week after gifting millions to a college, she's just given $70 million to Meals on Wheels America
Success
Billionaire philanthropist MacKenzie Scott has donated again—a week after gifting millions to a college, she's just given $70 million to Meals on Wheels America
By Emma BurleighApril 13, 2026
3 days ago
Germany already told its workers to ditch four-day weeks and work-life balance. Now the government wants to cut their pay for calling in sick, too
Success
Germany already told its workers to ditch four-day weeks and work-life balance. Now the government wants to cut their pay for calling in sick, too
By Orianna Rosa RoyleApril 16, 2026
18 hours ago
A world going broke: IMF says America's $39 trillion national debt is actually a global problem—and AI may be the only rescue
Economy
A world going broke: IMF says America's $39 trillion national debt is actually a global problem—and AI may be the only rescue
By Nick LichtenbergApril 16, 2026
6 hours ago
Current price of oil as of April 15, 2026
Personal Finance
Current price of oil as of April 15, 2026
By Joseph HostetlerApril 15, 2026
2 days ago
MacKenzie Scott is bypassing the Ivy League and rewriting the $79 billion higher ed playbook by giving to HBCUs and community colleges
Politics
MacKenzie Scott is bypassing the Ivy League and rewriting the $79 billion higher ed playbook by giving to HBCUs and community colleges
By Sydney LakeApril 16, 2026
10 hours ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.