Tesla To Layoff 9% Of Workforce

Tesla is reportedly planning to lay off approximately 4,100 of its 46,000 employees to cut costs.  Musk tweeted they have made this difficult decision to let go approximately 9% of workforce because, among other reasons, company hasn't made an annual profit in the almost 15 years since it was founded. 

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No annual profits in 15 years? Wow. That's something I didn't have a clue about it. And he is still trying to convince us that this won't effect company's ability to reach Model 3 production targets. It doesn't sound convincing to me. 

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This isn't the first laid off in Tesla. Last fall they let go about 400-700 people after completing annual performance reviews and also small number of workers in 2008. 

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"The layoffs come in engineering, sales and other front-office functions, but the company says the remaining workforce is large enough to accomplish Musk's lofty goals of rolling out a semi, pickup truck and a new SUV in the coming years."

If most of those are their engineers then its game over. 

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Tesla stock is up 40% after Musk said he'd lay off workers. 

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3 hours ago, BlackTortoise said:

"The layoffs come in engineering, sales and other front-office functions, but the company says the remaining workforce is large enough to accomplish Musk's lofty goals of rolling out a semi, pickup truck and a new SUV in the coming years."

If most of those are their engineers then its game over. 

 

You can add a compact car to the list. Musk has said that Tesla plans to launch a compact car within five years.

http://overdrive.in/news-cars-auto/tesla-plans-to-launch-electric-compact-car-within-five-years-musk/

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3 hours ago, Sofia said:

Tesla stock is up 40% after Musk said he'd lay off workers. 

not even 4% up. In my view - wrong direction; move is not compatible with valuations of growth tech stock.

I find it peculiar that layoffs were not mentioned at the AGM.

Disclaimer - I have no horse in this dog fight.

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Musk bought more than  70,000 shares of his company while announcing layoffs, spending roughly $25 million on the shares. And he did it month after buying $10 million in Tesla stock. Complete illogicality or maybe it's  just his bluff, though a very expensive  and risky one. 

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2 hours ago, Stormysaga said:

Musk bought more than  70,000 shares of his company while announcing layoffs, spending roughly $25 million on the shares. And he did it month after buying $10 million in Tesla stock. Complete illogicality or maybe it's  just his bluff, though a very expensive  and risky one. 

he promised to destroy shorts... May need to fork out a bit more than that. Profitable year and start repaying debt would do.

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