Tesla plans to cut 601 more jobs in California, notice to government says
Reuters
Updated Tue, May 14, 2024
FILE PHOTO: A Tesla logo is seen in Los Angeles
SAN FRANCISCO (Reuters) -Tesla plans to lay off an additional 601 employees in California, it said in a notice to the state government, as the automaker undertakes a series of job cuts globally that began a month ago amid falling sales and intensifying price competition.
Tesla CEO Elon Musk said on April 15 that the company would lay off more than 10% of its global workforce, which stood at over 140,000 in late 2023. The electric vehicle maker has conducted several rounds of job cuts since then, as Musk wanted to slash 20% of its headcount, according to people familiar with the matter.
The latest layoff plan would affect employees at Tesla's facilities in Palo Alto and Fremont, California, and will start during the 14-day period beginning on June 20, 2024, Tesla said in its Worker Adjustment and Retraining Notification (WARN).
The electric carmaker said last month it would lay off 6,020 people in California and Texas, as part of the headcount cuts.
The global job reductions also included 285 employees at its Buffalo, New York facilities that house the labeling team for its Autopilot driver assistance software and which makes fast-charging equipment.
Musk disbanded Tesla's Supercharger team on April 30.
(Reporting by Hyunjoo Jin; Editing by Sandra Maler and Jamie Freed)
Tesla to cut 601 jobs in Bay Area, a sign of more problems for EV maker
Updated Tue, May 14, 2024
FILE PHOTO: A Tesla logo is seen in Los Angeles
SAN FRANCISCO (Reuters) -Tesla plans to lay off an additional 601 employees in California, it said in a notice to the state government, as the automaker undertakes a series of job cuts globally that began a month ago amid falling sales and intensifying price competition.
Tesla CEO Elon Musk said on April 15 that the company would lay off more than 10% of its global workforce, which stood at over 140,000 in late 2023. The electric vehicle maker has conducted several rounds of job cuts since then, as Musk wanted to slash 20% of its headcount, according to people familiar with the matter.
The latest layoff plan would affect employees at Tesla's facilities in Palo Alto and Fremont, California, and will start during the 14-day period beginning on June 20, 2024, Tesla said in its Worker Adjustment and Retraining Notification (WARN).
The electric carmaker said last month it would lay off 6,020 people in California and Texas, as part of the headcount cuts.
The global job reductions also included 285 employees at its Buffalo, New York facilities that house the labeling team for its Autopilot driver assistance software and which makes fast-charging equipment.
Musk disbanded Tesla's Supercharger team on April 30.
(Reporting by Hyunjoo Jin; Editing by Sandra Maler and Jamie Freed)
Tesla to cut 601 jobs in Bay Area, a sign of more problems for EV maker
Karen Garcia
Wed, May 15, 2024 at 12:48 PM MDT·2 min read
An assembly line at Tesla's plant in Fremont, Calif., in 2015. (David Butow / For The Times)
In the fourth straight week of layoff announcements, Tesla said it is now concentrating on reducing staff at its Bay Area facilities as part of a larger move to cut jobs globally.
State filings show that Tesla is planning to lay off 378 employees at its Fremont facilities and 223 at its Palo Alto offices.
The layoffs will occur over a 14-day period starting June 20.
An email to Tesla officials requesting comment was not immediately returned.
The layoffs come as the company struggles with flagging sales, top executives fleeing, a declining stock price and quality problems with the new Cybertruck. The low-cost Model 2 recently promised by Chief Executive Elon Musk also appears to be dead.
It is not immediately clear which positions are being cut. The San Francisco Chronicle reported they would include technicians, electricians, software engineers, plumbers and athletic trainers.
Read more: The EV market is in trouble: The latest sign is Tesla's layoffs
On April 15, Musk announced in an email to staff that Tesla was cutting more than 10% of its workforce, citing job overlap and the need to reduce costs.
A week later, Telsa said it was laying off 3,332 workers at its facilities and offices in Fremont, Palo Alto, Burbank and Lathrop.
Including the latest cuts, Telsa has announced 3,933 layoffs this year in California.
“As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” Musk wrote in the April email.
“As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally,” he continued. “There is nothing I hate more, but it must be done.”
This story originally appeared in Los Angeles Times.
Wed, May 15, 2024 at 12:48 PM MDT·2 min read
An assembly line at Tesla's plant in Fremont, Calif., in 2015. (David Butow / For The Times)
In the fourth straight week of layoff announcements, Tesla said it is now concentrating on reducing staff at its Bay Area facilities as part of a larger move to cut jobs globally.
State filings show that Tesla is planning to lay off 378 employees at its Fremont facilities and 223 at its Palo Alto offices.
The layoffs will occur over a 14-day period starting June 20.
An email to Tesla officials requesting comment was not immediately returned.
The layoffs come as the company struggles with flagging sales, top executives fleeing, a declining stock price and quality problems with the new Cybertruck. The low-cost Model 2 recently promised by Chief Executive Elon Musk also appears to be dead.
It is not immediately clear which positions are being cut. The San Francisco Chronicle reported they would include technicians, electricians, software engineers, plumbers and athletic trainers.
Read more: The EV market is in trouble: The latest sign is Tesla's layoffs
On April 15, Musk announced in an email to staff that Tesla was cutting more than 10% of its workforce, citing job overlap and the need to reduce costs.
A week later, Telsa said it was laying off 3,332 workers at its facilities and offices in Fremont, Palo Alto, Burbank and Lathrop.
Including the latest cuts, Telsa has announced 3,933 layoffs this year in California.
“As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” Musk wrote in the April email.
“As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally,” he continued. “There is nothing I hate more, but it must be done.”
This story originally appeared in Los Angeles Times.
Tesla to rehire some of its laid-off Supercharger team: BBG
Seana Smith and Brad Smith
Tue, May 14, 2024
Tesla (TSLA) appears to be backtracking on its recent workforce reduction strategy, as Bloomberg reported the electric vehicle giant is rehiring some of its Supercharger team. This move comes just a month after CEO Elon Musk laid off nearly all of its employees on the Supercharger network team.
For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.
This post was written by Angel Smith
Video Transcript
All right, let's talk about another turning ticker here on Yahoo Finance.
And that is Tesla, reportedly starting to bring back some of the employees that they let go not too long ago.
And now remember, this is the group that EO Elon Musk laid off part of the supercharger unit.
That was just last month.
This is according to a report here from Bloomberg.
Now, among those being rehired is Tesla's director of charging for North America.
And this comes on the heels of what seems to be a massive reversal here under Musk, initially making headlines last week just about the plans to pretty much dismantle the entire group.
Now it looks like he is bringing some of those key former employees back.
We talked to I. I spoke to the CEO of Blink, charging on the show yesterday and was asking him what exactly this means for his business, whether or not he would potentially be interested in some of these Tesla employees that had been let go.
And he essentially said yes, right?
It could be very.
It could be very beneficial for his business, given their experience, given their knowledge within Tesla.
So I think as you see this quick reaction from others within the industry looking to capitalise on what Tesla had seemingly left behind, at least for a couple of days.
But again, this reversal under must I mean, you can go so many ways with this conversation.
One if you want to focus on the super charging business itself and that industry.
But two, I think.
And maybe the more interesting part of this conversation.
It's just a dysfunction that seems to be playing out right now inside Tesla and exactly what that culture is, and maybe potentially a toxic culture, as some former employees are calling it right now.
I mean, many employees have come out in the past, whether it be the toxic workplace environment, whether it be allegations of discrimination within the workplace.
I mean, you just continue to file this under file this away under what the heck is happening at Tesla as of right now, and it really comes back to what the leadership team is doing to actually push back on Elon Musk and if they feel like they actually have enough weight when they're lending their own opinion or their own mindset towards what management is looking like what it's doing on the delivery of so many of the vehicles that this company has promised and now lagging some of the expectations once they put it into the market Looking at you cyber truck.
Also, you think about the ultimate investigations that are still taking place and on going into full self drive.
A major marketing point for Tesla.
That's still a large question mark.
And then it comes down to the culture that you mentioned in Dove into a moment ago.
This company has had question marks around its culture swirling around it for the better part of the last 78 years.
Let's just sum it up as that.
And so all these things considered it can be a hit on talent acquisition in the future.
If you have people highly skilled, very smart people who don't want to go work for Tesla or Elon Musk.
What does that do for the profile and for the valuation in terms of factoring in any type of growth prospect for this company to eventually get to the same type of production standards sentiment standard as some of the large behemoths within this, um um motor vehicle landscape that yes, have pulled back on some of their own ambitions for electric vehicles in this near term, given some of the waning demand but still have far more expertise in operating and making sure that they can scale up when the time is necessary.
Seana Smith and Brad Smith
Tue, May 14, 2024
Tesla (TSLA) appears to be backtracking on its recent workforce reduction strategy, as Bloomberg reported the electric vehicle giant is rehiring some of its Supercharger team. This move comes just a month after CEO Elon Musk laid off nearly all of its employees on the Supercharger network team.
For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.
This post was written by Angel Smith
Video Transcript
All right, let's talk about another turning ticker here on Yahoo Finance.
And that is Tesla, reportedly starting to bring back some of the employees that they let go not too long ago.
And now remember, this is the group that EO Elon Musk laid off part of the supercharger unit.
That was just last month.
This is according to a report here from Bloomberg.
Now, among those being rehired is Tesla's director of charging for North America.
And this comes on the heels of what seems to be a massive reversal here under Musk, initially making headlines last week just about the plans to pretty much dismantle the entire group.
Now it looks like he is bringing some of those key former employees back.
We talked to I. I spoke to the CEO of Blink, charging on the show yesterday and was asking him what exactly this means for his business, whether or not he would potentially be interested in some of these Tesla employees that had been let go.
And he essentially said yes, right?
It could be very.
It could be very beneficial for his business, given their experience, given their knowledge within Tesla.
So I think as you see this quick reaction from others within the industry looking to capitalise on what Tesla had seemingly left behind, at least for a couple of days.
But again, this reversal under must I mean, you can go so many ways with this conversation.
One if you want to focus on the super charging business itself and that industry.
But two, I think.
And maybe the more interesting part of this conversation.
It's just a dysfunction that seems to be playing out right now inside Tesla and exactly what that culture is, and maybe potentially a toxic culture, as some former employees are calling it right now.
I mean, many employees have come out in the past, whether it be the toxic workplace environment, whether it be allegations of discrimination within the workplace.
I mean, you just continue to file this under file this away under what the heck is happening at Tesla as of right now, and it really comes back to what the leadership team is doing to actually push back on Elon Musk and if they feel like they actually have enough weight when they're lending their own opinion or their own mindset towards what management is looking like what it's doing on the delivery of so many of the vehicles that this company has promised and now lagging some of the expectations once they put it into the market Looking at you cyber truck.
Also, you think about the ultimate investigations that are still taking place and on going into full self drive.
A major marketing point for Tesla.
That's still a large question mark.
And then it comes down to the culture that you mentioned in Dove into a moment ago.
This company has had question marks around its culture swirling around it for the better part of the last 78 years.
Let's just sum it up as that.
And so all these things considered it can be a hit on talent acquisition in the future.
If you have people highly skilled, very smart people who don't want to go work for Tesla or Elon Musk.
What does that do for the profile and for the valuation in terms of factoring in any type of growth prospect for this company to eventually get to the same type of production standards sentiment standard as some of the large behemoths within this, um um motor vehicle landscape that yes, have pulled back on some of their own ambitions for electric vehicles in this near term, given some of the waning demand but still have far more expertise in operating and making sure that they can scale up when the time is necessary.
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