Tesla Continues Layoffs Amidst Financial Downturn

Tesla's ongoing job cuts extend into the fourth consecutive week, impacting employees from engineers to top executives.

  • Tesla’s ongoing job cuts extend into the fourth consecutive week, impacting employees from engineers to top executives.
  • CEO Elon Musk emphasizes the necessity of layoffs and adopts a “hard core” stance on restructuring efforts.
  • Tesla’s financial health sees a significant downturn, with a reported 55% drop in profits year-over-year and decreased quarterly vehicle deliveries.

Tesla’s recent wave of layoffs continues to affect employees across various departments, ranging from engineers to top executives. Reports and posts shared by affected employees indicate the fourth consecutive week of job cuts. Initially targeting around 10% of its global workforce of 140,000 employees, Tesla’s layoffs include high-profile positions such as Rebecca Tinucci, head of EV charging, and Daniel Ho, head of new vehicles.

CEO Elon Musk has reiterated the necessity of these layoffs, emphasizing a “hard core” approach to restructuring efforts. Musk has indicated that staff under executives not meeting standards of excellence, necessity, and trustworthiness are at risk of losing their jobs. However, the exact number of affected employees in the latest round remains uncertain.

Tesla’s financial health has seen a significant downturn, with a reported 55% drop in profits year-over-year and decreased quarterly vehicle deliveries. This decline comes amidst heightened competition and a global decrease in demand for electric vehicles. In response, Musk appears to be shifting Tesla’s focus towards autonomous vehicle technology, aiming to unveil a fully autonomous robotaxi later this year.