2 minGiga Berlin raises pay by up to 5% as it pushes for 7,500 cars a week, but IG Metall wants more
Tesla's Grünheide workers get another raise from October. What changes, how it compares with the union's demands, and what it says about the plant's production push.
Tesla has raised wages at its factory in Grünheide, near Berlin, for the fifth year in a row. The increase, announced on September 29, 2026, took effect on October 1. It comes as the plant works extra shifts to reach a new production target and as the IG Metall union keeps pushing for a collective agreement.
What changes
- Production workers: a 5% raise. They make up most of the nearly 12,000 employees.
- Skilled workers: a 4% raise plus a performance bonus for those with good recent reviews.
- Lowest pay grades: the full 5%, since they have no performance reviews.
- Starting pay: Tesla says a new production worker earns about €45,750 a year. According to Handelsblatt, that figure includes Tesla shares.
Tesla raised pay by 4% in December 2025 and has increased wages every year since production started in March 2022.
The union's view
IG Metall started its bargaining round for the German metal and electrical industry on October 7, aiming for a 5% increase. It welcomed Tesla's raise but says the company still falls short of standard car-industry terms, pointing to the lack of holiday pay and a Christmas bonus. The union continues to push for a collective agreement at Giga Berlin, which Tesla has so far resisted.
The production push
Tesla aims to raise output in Grünheide to 7,500 Model Y cars a week this year. In September it scheduled extra mandatory shifts to close the gap, and it plans to hire up to 3,500 more workers. The plant also builds Model Ys for Canada, where delivery estimates for new orders have reportedly stretched into 2027.
Why it matters
After a difficult 2025 in Europe, demand has picked up again, with strong September sales in several countries. Keeping enough workers and avoiding labour conflict is essential if Tesla wants to supply that demand from Germany. The company is also planning a much larger second hall at the site.
What to watch
The outcome of IG Metall's industry-wide talks, whether the works council election or union pressure changes Tesla's position, and whether the plant actually reaches 7,500 cars a week.
