Tesla makes large-scale layoffs - from executives to less important employees
Kyiv • UNN
Tesla is conducting large-scale layoffs at all levels, including executives, software developers, service and engineering staff, as Elon Musk seeks to cut operating costs, with job cuts potentially reaching 20% of the workforce.
Tesla has stepped up its layoff campaign, which has affected all levels of the company. Elon Musk has not left any department untouched in his quest to cut operating costs, with layoffs affecting even software developers, services and engineering staff, UNN reports citing Business Insider.
Details
Elon Musk's electric car company is in its fourth week of layoffs.
It is noted that the departments most affected by the cuts are those related to software development and service management. At the same time, one of Business Insider's sources, who still works at Tesla, says he is waiting for a message from Elon Musk about the continuation of job cuts.
Elon Musk said that he would lay off about 10% of the workforce, but this number seems to be growing, approaching 20%. In recent weeks, the discussion has been sparked by the reduction of the entire Supercharger team, while there is talk of creating a completely new advertising department. Some departments have been "eliminated," but according to the publication, they will need to be rehired in a short time.
For reference
In Tesla's first quarterly report of 2024, the company's profits fell by nine percent, which is significantly less than experts and analysts had predicted. Tesla's sales and profits fell by about 50% compared to 2023.
Recall
Tesla shares fell by 5.5% amid the announcement of hundreds of layoffs, including the closure of two divisions and the departure of two senior executives.
