Tesla, the electric vehicle giant led by Elon Musk, has been going through a series of layoffs that have left employees worried about their job security.
The company started cutting its workforce on April 14, with Musk announcing the elimination of more than 10 percent of jobs due to “duplication of roles and job functions in certain areas.”
Over the past month, various teams at Tesla, including recruitment, marketing, and the Supercharging division, have been affected by the ongoing layoffs.
Some employees only found out they had lost their jobs when they tried to enter a Tesla facility.
The constant uncertainty has created a tense atmosphere among the remaining staff, with one anonymous worker telling Business Insider, “We need some level of closure or a sign that we can stop worrying about losing our jobs.”
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Tesla, Amazon, Google, TikTok, Snap and Microsoft have conducted sizable layoffs in the first months of 2024.
Below you’ll find a comprehensive list of all the known layoffs in tech that have occurred in 2024
January 2024: 19,350 employees laid… pic.twitter.com/87LLC3wg2B
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The layoffs at Tesla highlight the company’s struggle to maintain demand for its electric vehicles.
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In April, Tesla reported lower-than-expected delivery numbers, which likely contributed to the decision to reduce headcount. Musk reportedly told executives to be “absolutely hard core about headcount” in response to the slowing demand.
These events show that the electric vehicle industry is facing challenges, as consumer demand has not matched the ambitious targets set by manufacturers and governments.
The lack of interest in electric cars suggests that government mandates alone may not be enough to encourage widespread adoption. Companies like Tesla need to focus on creating attractive products that address consumers’ practical concerns, such as range anxiety and charging infrastructure.
Adding to the uncertainty at Tesla, at least six executives have left the company over the past month, including senior leadership in engineering and public policy.
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The executive reshuffling has left Musk with a wide span of control, overseeing 35 direct reports, according to the Information.
