Just a few days ago, Tesla CEO Elon Musk announced that the luxury auto manufacturing company would lay off 9 percent of its workforce in a bid to reduce costs and become profitable.
This meant that about 4,100 employees of the firm would be shown the doors.
Explaining the move in the statement on Twitter, Musk said that Tesla had never made annual profits since it was founded on July 1, 2003, which proves that profit is not the only motivational factor.
But the expansion of the company in the last 14 years has led to “some duplication of job roles and some job functions that, while they made sense in the past, are difficult to justify today”.
The employees said that the decision came as a shock to them as Musk had never hinted at future job cuts, despite speaking of how the company will have to restructure its operations to become profitable.
A former energy salesperson, told that her team received a vague email at 1 am, which asked them to clear four hours in their day’s schedule for a video conference. While the employees assumed it to be just another meeting, they realized it was, in fact, a conference call with the human resources department and the company’s director of energy sales Brent Baldwin.
It was during this conference call that about 250 employees were told they would be let go. Baldwin reportedly also apologised as some of these employees who had even achieved their targets.
Meanwhile, another employee added that working at Tesla has always “been nothing but a disaster.” She told that the company more often than not doesn’t keep promises and doesn’t even chart out their plans well.
Another unnamed employee said that he came to know that his manager had been let go only after the latter didn’t show up for a meeting. When he tried to mail his manager, the document bounced back and that is when he figured out that his manager had been fired.
Even after all this, Musk said that the layoffs have affected only the salaried employees and production department wouldn’t be hit, which means Tesla’s Model 3 will see no impact.
Credits : https://www.ibtimes.co.in/