Local 26 organizes at Tesla Gigafactory to build union strength, create opportunities for members

The percentage of work that union sheet metal workers and contractors perform in a given region is called “market share.” When a local union’s market share is high, that means members have more work opportunities. When a local’s market share is threatened, members could face the possibility of reduced jobs.

That’s why SMART locals organize constantly to maintain and grow their market share. A recent example from Nevada demonstrates the impact.

A threat to Local 26 members

Since construction began at Tesla Gigafactory 1 in Reno in 2014, SMART Local 26 union contractors have successfully performed almost all mechanical sheet metal work on the project. The scale of the facility required workforce support from SMART members across the country, with sheet metal workers traveling from nearly every region to assist Local 26 in meeting the workforce demands of one of the largest industrial projects in the United States.

Toward the end of 2025, rumors began circulating that Tesla had started self-performing a significant portion of the sheet metal work outside of the main Gigafactory building. Initially, Local 26 was unable to verify the reports until a former Tesla employee visited the union hall seeking employment opportunities.

During discussions with the worker, organizers learned that Tesla was performing large-scale ductwork installations using more than 60 workers from across the country — workers who were not SMART members. The worker also identified the project location and explained that Tesla was staffing the operation through a temporary labor provider, Superior Skilled Trades (SST), based out of Florida.

Further investigation revealed that SST was recruiting heavily from Southern states and other regions with lower wage rates, making Tesla’s compensation package highly attractive to workers willing to travel. SST’s focus was on providing labor quantity rather than skilled sheet metal experience, resulting in many workers possessing only limited sheet metal backgrounds.

Tesla’s use of out-of-state workers posed a clear danger to SMART members, taking away work opportunities in the region. Recognizing this threat, Local 26’s Organizing Department quickly mobilized.

An opportunity to build union strength

Organizers began building relationships with workers on the project and developed an extensive list of potential members from the Tesla workforce. Through consistent jobsite visits, conversations and follow-up efforts, organizers identified qualified workers who could strengthen the local union while also reducing Tesla’s ability to self-perform work.

Over the following months, Local 26 successfully recruited more than 30 workers from the project, including 18 journeypersons, 7 forepersons and 5 apprentices.

The successful recruitment of these workers was an immediate help to Local 26, which was facing a period of unprecedented workforce demand. The additional workers helped the local satisfy workforce requests while simultaneously creating opportunities for union contractors to reclaim portions of the work that Tesla had originally planned to self-perform.

As of the end of the second quarter of 2026, Tesla continues to self-perform some sheet metal work; however, the scale of those operations has been significantly reduced compared to the previous year. Through aggressive organizing and workforce recruitment, Local 26’s Organizing Department successfully mitigated a major threat to members’ work opportunities while strengthening the local’s membership for future growth.

What began as a challenge to members’ market share ultimately became one of the local’s most successful recruitment efforts in recent years. Great work, Local 26!