Tesla is reportedly taking a close look at its workforce, hinting at potential job cuts across the company in the near future.
According to a report from Bloomberg, managers at Tesla have been tasked with identifying whether each position within their teams is deemed essential. While that was the extent of the one-line email, it has raised concerns among employees about job security.
The prospect of potential layoffs comes after the company warned of slowing sales growth in 2024 as they ramp production of the Cybertruck and work to bring their next-generation platform to market, with over $10 billion earmarked for capital expenditures in the coming year..
Tesla’s workforce has seen dramatic growth, doubling since 2020 to over 140,000 employees worldwide, according to the company’s most recent filings. However, despite this growth, Tesla has not been immune to making cuts where deemed necessary.
In June 2022, Elon Musk sent out an email to announce a 10% reduction in its salaried workforce and a hiring freeze, with the reason being that that company had become “overstaffed” in many areas. However, the hiring freeze didn’t last long. In October, Tesla went on a hiring spree, with over 5,900 jobs posted on the Careers website.
More recently, the company laid off several employees in early 2023 involved with the Autopilot system at Giga New York.