“We must be absolutely tough on staff and cost reductions,” Elon Musk said in an email to Tesla executives. Beata Zawrzel/NurPhoto via Getty Images
The layoffs at Tesla aren’t over yet, says Tesla CEO Elon Musk.
On Monday, he announced the departure of two senior executives and the elimination of their departments.
According to Musk, Tesla must “stay tough” when it comes to reducing personnel and costs.
This is a machine translation of an article from our US colleagues at Business Insider. It was automatically translated and checked by a real editor.
Tesla CEO Elon Musk says the electric car giant has not yet ended the wave of layoffs. The billionaire announced the departure of two senior executives in an email to employees on Monday. They are Rebecca Tinucci, Tesla’s senior director of charging infrastructure, and Daniel Ho, director of vehicle programs and new products.
In the email that “The Information“, it is said that both Tinucci’s and Ho’s departments will be dissolved, with only a few employees being transferred. About 500 employees from Tinucci’s department will lose their jobs, the online magazine reported, citing Musk’s email. Tesla’s public policy team will also be disbanded, Musk said. Tesla’s vice president of public policy and business development, Rohan Patel, announced his departure on April 15.
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Musk expects further job cuts
Elon Musk said that at 10 a.m. Tuesday he will begin demanding terminations from Tesla executives who employ more than three people who are not absolutely “excellent, necessary and trustworthy.” “Hopefully these measures make it clear that we must remain tough on staff and cost reductions,” Musk said in his email.
Tesla representatives did not immediately respond to a request for comment from Business Insider outside regular business hours. The wave of layoffs comes at a difficult time for the company. It has struggled with sluggish sales and increased competition from Chinese rivals such as BYD.
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On April 23, Tesla told investors in a conference call that its quarterly sales fell 9 percent compared to the previous year. This is the largest decline in sales since 2012. Earlier this month, Tesla announced that it delivered 386,810 cars in the first quarter of 2024. This corresponds to a decrease of 20.1 percent compared to the last quarter.
On April 14, Musk announced the first round of mass layoffs at Tesla this year. This reduced Tesla’s workforce by more than 10 percent. Before the layoffs, the company employed over 140,000 people.
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