Tesla will reduce workforce in 3 months, employees will be fired

Elon Musk said on Tuesday that Tesla will cut its salaried workforce by 10 percent over the next three months. The world’s richest man said the electric car maker would take a 10 percent pay cut over the next three months, according to a Bloomberg program. As the company is navigating the global macroeconomic situation. […]
 


Tesla will reduce workforce in 3 months, employees will be fired

Elon Musk said on Tuesday that Tesla will cut its salaried workforce by 10 percent over the next three months. The world’s richest man said the electric car maker would take a 10 percent pay cut over the next three months, according to a Bloomberg program. As the company is navigating the global macroeconomic situation.

Tesla’s workforce will be cut by 3.5 percent

Tesla employs more than one million people at its facilities and last year saw the company’s workforce increase by more than 40 percent. Now this number is expected to decrease rapidly.

 

The company started layoffs last week

Last week the company began a wave of layoffs involving only hourly employees instead of salaried employees, as reports of cuts to its sales and distribution team in North America.

Elon Musk had earlier given information in the e-mail

A decision by Tesla comes in the wake of layoffs. Musk warned employees about it. Earlier this month, Musk sent an email to Tesla executives saying the super-bad filling of the economy needed to cut the workforce by 10 percent and stop hiring. Musk then announced his decision to clarify Tesla’s layoffs in an e-mail to all employees. He also said that it will increase the head count every hour.