Looks like Tesla still isn’t done laying employees off.
Tesla has launched another round of termination notices over the evening of Sunday, May 5. The latest round of cuts means the electric vehicle manufacturing company has now entered its fourth week of layoffs.
While the exact number of employees who were laid off in this recent round of job cuts remains uncertain, some employees swiftly shared the news on LinkedIn to recount their experiences. Among them is Cheryl Cai, a UX designer with prior experience at Apple.
“After watching my team gradually slimmed down week after week since mid-April, I received the dreaded “Hello Employee” email this Sunday afternoon. I’ve become just another statistic in yet another round of mass layoffs,” Cai stated in her post. “As an eternal optimist, I believe this layoff will ultimately strengthen me, and I’m confident that I’ll find another company to fully dedicate to and grow with. In the meantime, your support would mean the world to me. I would truly appreciate you sending any opportunities, connections, or side quests my way. I’m officially open to work! “, she added.
Since Tesla’s chief executive officer, Elon Musk, started to announce in mid-April its plans to slash its workforce, employees have continued receiving the dreaded layoff notices in successive waves. According to reports, Musk said that the cuts were due to a “duplication of roles and job functions.” However, he also told employees and investors that the shrinking workforce headcount is about “restructuring for the next phase of growth.”
Within hours of the initial announcement, the car company began notifying the affected employees. However, some of them discovered that they’d been terminated only after their key cards failed to provide them access to a Tesla facility.
Moreover, two executives resigned from the company. Senior Vice President in charge of Powertrain and Electrical Engineering Drew Baglino and Vice President of Public Policy and Business Development Rohan Patel shared on social media that they had left Tesla on April 15. Patel also said that his decision to leave was due to the big “overall changes” at the company.
Tesla is already in for a potentially dire financial year: the company’s profit went down by 9%, falling significantly below what experts and analysts projected. Then, in April, Tesla recalled all 3,878 Cybertrucks after consumers reported stuck accelerator pedal issues. The issue has caused Tesla to temporarily delay the production and deliveries of the said vehicle.
Musk’s reputation for enforcing strict standards at Tesla was already well known. With a significantly reduced workforce, those who remain at the company can anticipate facing even greater challenges in the coming months.