By Victoria Waldersee

BERLIN (Reuters). BERLIN (Reuters). With the final approval of its German factory possibly only weeks away, Tesla (NASDAQ)’s Elon Musk will be in Gruenheide on Saturday to host a fair.

Despite German pandemic-related restrictions limiting Germany’s gatherings to less than 5,000 persons, Tesla applied for -and got – a permit to host 9,000 people at Oct. 9 Giga-Fest, following local authorities agreeing that the event was COVID-safe.

After officials allowed the company to start work on its new site without final approval, environmental groups said that it was just another example of Tesla getting too much freedom to be disruptive in Germany. They worry this will not stop.

Tesla didn’t respond to our request for comment.

Musk’s pre-approvals to construct without final permission from local authorities are legally valid, however, German companies rarely use them due to the risk. If final approval is denied, Tesla will have to pay for everything to be torn down.

Some people bemoan Musk’s decision to throw German caution to the winds, while others, who believe German regulations governing jobs, planning and environment are excessively restrictive, welcome Musk’s influence on the country’s business culture.

Brandenburg’s Economy Minister Joerg Steinbach told Reuters that he is convinced Tesla could have a positive impact on Germany. He was a well-known advocate for the factory.

I believe it is absolutely worthwhile to consider the basic idea of looking at existing legislation closely and seeing if there are any opportunities for modernization – even if this means losing legal power.

Tesla’s workers are being protected by the nation’s strong unions. The environmental groups and other local organizations are preparing to block any future expansion.

Birgit Dietze (head of Brandenburg’s region for union IG Metall) said that Tesla must adhere to all environmental protection and building laws. She was also a member of Volkswagen’s supervisory boards.

Musk vented his frustration with German law and process in April by writing to authorities stating that complex planning requirements in Germany were not in line with the urgent need to combat climate change.

Once running, the factory will produce 500,000 electric cars a year and generate 50 gigawatt hours (GWh) of battery capacity – more than any other plant in the country.

According to IG Metall, conversations between applicants and the union indicate that Tesla’s CEO, who is well-known for his rocky relationships with organized labour, offers 20% less than the wages collectively agreed upon at other German automakers.

This company also offers packages that include stock options, bonuses and predetermined holiday pay.

Tesla may be able negotiate a more difficult deal with its employees, which could give them a competitive advantage. Tesla chose to establish its first European gigafactory at home in Germany. This is in stark contrast to Daimler (OTC), and BMW, who have all been fighting for EV dominance.

Musk was a member of a German union. Tesla acquired Grohmann Automation as a German auto parts supplier in 2017. It set salaries at 30% below the average wage and refused to match collectively agreed pay.

Unions were able to drop their threat of strike after the company offered stock options and one-off bonuses. Stock options were also discussed by the unions at Brandenburg’s factory, according to them.

GERMAN CARMAKERS CAN’T DO IT – BUT TESLA CAN

According to Steinbach and IG Metall, 8001,200 of the 12,000 jobs that were to be filled at the factory have already been filled.

Tesla didn’t respond to questions or requests for comments on the progress of recruitment. LinkedIn data shows that there are fewer applicants than 10 for the majority of factory jobs advertised over the last month.

Gruenheide can be reached in 45 minutes from the Polish border. Tesla is expected to hire workers there.

Ferdinand Dudenhoeffer, an expert of the German automotive industry said that 20% is still very good for Polish workers.

German carmakers could not do it, they would get in big trouble with unions. But Tesla can do it.”

Musk originally planned to start production in July to ship the Model Y to European customers in Berlin. However, local opposition and an addition to the battery plant meant that blueprints had to be resubmitted again to authorities.

Tesla had to ship the Model Y in Shanghai because of this delay, which caused delays and increased costs.

A document that contained all 813 objections made to the factory and Tesla’s responses was posted online late September. The company reminded critics repeatedly that the firm is creating jobs and helping Germany get closer to electric mobility.

I understand your concerns. Some of the concerns are selfish. It’s always the same – people want things like wind farms and electric vehicles… just not in their backyard,” said 60-year-old Grunheide local Ralf-Thomas Petersohn, a member of Germany’s official Tesla fan club.

Public hearings were scheduled for September 23rd for residents to voice objections about the factory. However, authorities moved the meeting online because it became a “superpreader” event. Some viewed this as hypocritical in light of Tesla’s likely approval for a 9,000-person party.

It’s not all about Tesla. “It’s not about Tesla. It’s all about citizen participation,” Michael Ganschow, of Gruene Liga, said. “We cannot just tell you that electric cars are being made so that you can do anything you wish.”