Tesla to raise pay for US factory workers

Tesla has told production workers in the US that they will get a pay hike, Report informs referring to Bloomberg.

Many automakers including Volkswagen and Toyota have raised wages for their non-unionized US workers as the United Auto Workers (UAW) union looked to organize them after signing new labor deals with the Detroit Three.

Material handlers, production associates and quality inspectors are getting a "market adjustment pay increase", the report, which cited a flyer posted on Tesla's facility in Fremont, California, said, adding the electric automaker did not specify the magnitude of the hike.

The world's most valuable automaker, whose shares fell about 2% in early trading, did not immediately respond to a Reuters request for comment.

CEO Elon Musk has been vocal against the concept of unions and critical of Detroit-based UAW.

"I disagree with the idea of unions," he said in November at the New York Times DealBook Summit. "If Tesla is unionized, it'll be because we deserve it and we failed in some way."