Please ensure Javascript is enabled for purposes of website accessibility

Tesla Still Won't Close Factory Despite County Health Order; Execs to Meet with Fremont Police Today

By Scott Levine - Mar 19, 2020 at 4:16PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Alameda County, California, has ordered all nonessential businesses to close.

Seeking a diplomatic solution to their dispute, the Fremont (California) Police Department recently announced on Twitter that it plans on sitting down with Tesla (TSLA -1.79%) executives to discuss the company's refusal to comply with Alameda County's shelter-in-place order. In the tweet, the police department stated: "Police Chief Kimberly Petersen and members of our City Management team will meet with Tesla Factory management today to discuss cooperation for compliance with the County Health Officer's Order."

According to the Alameda County Health Order, only businesses that provide essential services like grocery stores, pharmacies, and hardware stores are allowed to remain open.

A policeman speaks on a CB radio while in his car.

Image source: Getty Images.

While Tesla has defied the request to limit its operations, the company is taking steps to mitigate the risk to its employees. According to a recent internal email sent to employees by Valerie Workman, Tesla's head of human resources for North America, the company is working to facilitate social distancing at the Fremont factory and provide masks to workers; in addition, employees would have their temperatures taken before entering the factory.

If Tesla does have to reduce operations or temporarily close the Fremont facility, it would make it significantly harder for it to hit its goal of manufacturing a combined 400,000 Model 3 and Model Y vehicles there this year.

Although California is not suffering from an outbreak as widespread as those in Washington or New York, the number of reported cases there does exceed that of most other states. As of 6 p.m. PDT Wednesday, California had 675 confirmed cases of COVID-19, and 16 deaths from it. Alameda County, where Tesla's Fremont factory is located, is one of several Bay Area jurisdictions that implemented shelter-in-place orders on Monday.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Tesla, Inc. Stock Quote
Tesla, Inc.
$685.47 (-1.79%) $-12.52
Twitter, Inc. Stock Quote
Twitter, Inc.
$37.80 (-2.55%) $0.99

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 06/30/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.