Tesla cut 9 percent of its workforce in June
Tesla boss had sent an email to the workforce Elon Musk At the beginning of June this year, it announced that nine percent of the staff would have to be laid off. One of the reasons, according to Business Insider, is that the new factories in Berlin-Brandenburg and Shanghai are quite expensive.
Difficult, but necessary Tesla reorg underway. My email to the company has already leaked to media. Here it is unfiltered: pic.twitter.com/4LToWoxScx
– Elon Musk (@elonmusk) June 12, 2018
Apparently, it was only announced at very short notice which employees were affected by the layoffs. Three anonymous former employees have told Business Insider how their layoffs have been announced as part of the workforce cuts. A former sales employee put it bluntly: “My theory is that this is the first wave of layoffs. I don’t think there will be enough work for all employees.” Musk had previously announced that he wanted to leave it at a large staff cut. It remains to be seen whether the former employee correctly assesses the company’s policy.
More managers and security guards than usual in the hallways
A former IT worker at Tesla’s Freemont factory said on the day he was laid off: “Somehow a scene from ‘The Wolf of Wall Street’ came to my mind – in it a company is being dissolved and all the employees are crying. That’s how it was I felt the same way when I left the Tesla factory in California for the last time.” In general, the mood that day was strange. For once, his superiors and their boss were in the office before him – “That fact alone made me suspicious.” A supervisor came into the office, put down her things and left without a word. Rumors were circulating that a long-time employee had been fired the day before.
Another Tesla factory worker also reports an exceptional number of managers on site, and the former IT worker says: “Security guards were stationed at the main entrances and escorted people out. I saw people crying in the lobby and wondered what had happened.”
The layoffs come suddenly
Applies to both him and the former sales employee: Tesla surprised the employees with the layoffs. Both had been employed at Musk’s company for only a few months and had put in a good job and plenty of overtime. For the former IT employee it was an inconspicuous invitation e-mail to a meeting in the conference room, for the colleague from sales an e-mail sent at 1 a.m. to schedule a four-hour zoom meeting the next day. The four-hour meeting turned out to be a mass gathering of 250 employees, all of whom were fired. The IT expert from California was fired in a one-on-one interview with two superiors and the HR manager, after which security personnel waited in front of the door with his personal belongings. “I wasn’t even allowed to say goodbye to my colleagues.”
So Tesla doesn’t seem to give its employees much lead time to mentally prepare for the dismissal. However, the reports of the three former employees should provide clues to be able to prepare at least in the short term and not to be caught completely cold in the meeting room.
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