Looks like the layoffs at Tesla are to continue. Elon Musk, CEO, Tesla has reportedly let go a senior director and a head of new products on 30 April 2024 amidst dwindling sales.
That means, those in the top ranks are not being spared at Tesla. To add to that, there are reports that hundreds of employees will also be laid off.
It is pertinent to mention here that on 16 April Tesla had announced a significant restructuring plan, resulting in a 10 per cent reduction of its global workforce, potentially affecting around 14,000 employees worldwide. The move was to streamline operations and slash costs amidst recent challenges.
Now, with Rebecca Tinucci, senior director, supercharger business and Daniel Ho, head of new products reportedly being let go, it is clear that Tesla’s senior executives are at risk too. Additionally, Musk has also conveyed that those working in Tinucci’s and Ho’s teams will also be asked to leave. That means, about 500 employees will be affected as Tesla tries to desperately reduce headcount and cut costs.
Rohan Patel, who heads Tesla’s public policy will also depart in this attempt to streamline operations in preparation for the next phase of growth. Drew Baglino, chief, battery development is also reported to have left.
Electric car sales have fallen as Tesla posted a net profit of only about $1.13 billion in January to March 2024, which is way below expectations. The company had actually posted net profit of $2.51 billiion last year.
