Tesla (TSLA.O) has reduced job ads by 14% after Chief Executive Elon Musk warned that he was concerned about the economy, needed to slash workers, and would halt hiring globally.
Tesla’s actions are a troubling reflection of the global economy’s health, as markets fall, inflation rises, and recession fears spread.
According to data provided to Reuters by Thinknum Alternative Data, the number of job posts on Tesla’s website has declined to 5,011 from 5,855 at the start of the month. Listings are down 32% from their peak on May 21.
In addition, some 20 Tesla employees reported they were laid off, let go, or had their positions terminated in the last week in online postings and interviews with Reuters. That is a small number in comparison to Tesla’s staff, but multiple employees recounted being part of a 10% employment cut, indicating that the firm is indeed laying off personnel.
Other Tesla employees expressed concern about how job cuts would be conducted, claiming that Musk’s order earlier this month that they return to the office and stop working remotely had rendered their positions untenable.
Tesla did not respond to a request for comment from Reuters.
The extent to which the employment cuts have been offset by additional hiring was not immediately obvious, but Tesla remains a sought-after employer with a climate-focused goal and a track record of innovation that has propelled rocketing vehicle sales.
Tesla, which had over 100,000 employees worldwide at the end of last year, also canceled three online recruitment events for China slated for this month. more info
Tesla has continued to hire in some regions, notably Germany, where production at a delayed electric vehicle facility outside Berlin is heating up. Earlier this week, the regional economic minister for Brandenburg, the state where the plant is located, stated that Tesla was adding 500 to 600 new workers each month and had hired approximately 4,500 people so far.