Tesla Saga, Part 937.4

So the City of San Jose is distraught that Tesla pulled the plug on their planned factory in San Jose. Check out their math.

Construction would mean 600 jobs and $40 million in wages, according to an analysis by city staff, and the facility ultimately would employ 525 people with an annual payroll exceeding $100 million.

[From Plans for Tesla auto plant in San Jose appear doomed – San Jose Mercury News]

Let’s look past the construction jobs and focus on permanent payroll… the average employee at the Tesla factory, according to San Jose officials, would earn $190,000. We could speculate on bonus structures and additional taxable compensation components, but at any rate that is a lot for per employee at a car factory, it pretty much puts GM’s $78 per hour cost to shame. Okay, it’s also company HQ and has R&D but that is still a lot of coin.

I also question city officials for the wisdom of basing these projections and plans on a company that has failed to meet any of the original targets they set for themselves in the timeframes made public and to date has delivered a mere 160 cars.

PS- I pulled up behind a Tesla yesterday at stop sign, the car has some wicked acceleration.