Business

Tesla Layoffs Serve as a Reminder of Twitter Layoffs, with Some Departments Seeing a 20% Reduction in Staff

In a surprising turn of events, Tesla has laid off a significant number of employees, impacting several departments and high performers within the company. The decision, reportedly due to poor financial performance, saw some departments being gutted by 20 per cent.

According to reports, the layoffs affected more than 10 per cent or nearly 14,000 workers across the US, Europe, and China. The move was made to cut costs and increase productivity in preparation for the company’s next phase of growth. Many of the laid-off employees were high performers, adding to the shock of the news.

A Tesla manager expressed their dismay, stating, “I lost 20 per cent of my team, some really good players too.” In addition to the layoffs, two high-profile executives, including the VP of Public Policy and Business Development, and the SVP of Powertrain and Energy, have also resigned from the company.

Notably, Tesla has recently abandoned plans to develop a low-cost EV priced at around $25,000. With the company set to report its first-quarter earnings next week, the layoffs and executive departures raise questions about the future direction of one of the leading electric car manufacturers in the industry.

IANS

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