Benjamin Spillman | Reno Gazette Journal

Benjamin Spillman, Reno Gazette Journal

Editor's note: This content is being provided for free as a public service to our readers during the coronavirus outbreak. Please support local journalism by subscribing to the Reno Gazette Journal.

Tesla partner Panasonic will suspend operations at the companies' Nevada Gigafactory near Reno to help limit the spread of the COVID19 virus pandemic.

The company announced Friday it would send about 3,500 workers home for at least two weeks beginning early next week.

Company spokesman Alberto Canal said workers would receive pay and benefits for the duration.

"The Panasonic factory in Sparks, Nevada will begin ramping down operations early next week and will then close for 14 days. Employees impacted by the closure will receive full pay and benefits for the 14-day period," Canal said in a written statement.

Canal said in the time until the closure, the company would increase cleaning and disinfecting at the factory and enforce social distancing standards to reduce the risk of virus transmission.

{{props.notification}} {{props.tag}} {{props.expression}} {{props.linkSubscribe.text}} {{#modules.acquisition.inline}}{{/modules.acquisition.inline}} ... Our reporting. Your stories. Get unlimited digital access to exclusive content. Subscribe Now

Panasonic's decision does not cover thousands of Tesla employees at the Gigafactory.

The two companies work together to produce batteries for Tesla vehicles and stationary energy products.

The batteries are mostly produced on the Panasonic side of the factory while the Tesla side produces power trains for the Model 3 car and assembles batteries.

It's not clear what the Panasonic decision means for the thousands of Tesla employees on the same site. Tesla did not immediately respond to a request for comment on the Panasonic statement.

Tesla CEO Elon Musk has downplayed concerns about the virus and has been reluctant to suspend operations in Nevada.

The company has stated it will suspend operations at its Fremont, Calif., factory on March 23, a week after officials issued a shelter-in-place order for six Bay Area counties, including Alameda where Fremont is located.