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HomeUncategorizedMusk wants to lay off 10% of Tesla employees

Musk wants to lay off 10% of Tesla employees

In an email to Tesla executives, Elon Musk said he “had a very bad feeling” about the economy and wanted to reduce his workforce by 10%.

Musk’s request was made in an email today titled “global hiring stop,” Reuters said. Musk is currently the person with the strongest warning in the auto industry about the possibility of a recession in the US economy and its impact on car manufacturers.

According to documents filed with the US Securities and Exchange Commission (SEC), by the end of 2021, Tesla has about 100,000 employees globally. Before today’s email, Tesla was still posting 5,000 jobs on LinkedIn, ranging from sales staff in Tokyo to engineers in Berlin.

The richest person in the world at an event in shanghai 2020. Photo: reuters

The richest person in the world in an event in Shanghai 2020. Photo: Reuters

Despite the growing concern about the possibility of a recession, demand for Tesla cars in particular and electric cars in general is still very strong. However, Tesla is struggling to restart production at its Shanghai factory after the blockade due to Covid-19.

Inflation in the US is now at a 40-year high, driving up the cost of living for Americans. The US Federal Reserve (Fed) faces the difficult task of cooling down inflation without causing a recession.

In May, when asked by a Twitter user if the US was nearing a recession, the billionaire said: “Yes. But this is actually a good thing. We have poured money into the bad guys. We’ve been stupid for too long. We need some bankruptcy.”

Musk this week also controversially asked Tesla to return to the office instead of working remotely. On Tuesday, he wrote in an email: “Every employee at Tesla is required to work a minimum of 40 hours a week at work. If you don’t show up, we’ll consider you fired.”

Jason Stomel – founder of technology human resources firm Cadre commented: “I think this is just a symbolic layoff. Musk knows that there will be a number of employees who will not return to the company. This way will be less. more costly because they do not have to pay severance pay.”

Ha Thu (according to Reuters)

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