While the full scale of these new layoffs is unclear, Bloomberg has reported that Tesla’s total headcount reduction that began earlier this month could end up being as high as 20 percent of its workforce, or well in excess of 20,000 employees.
The developments came after Tesla Chief Executive Officer Elon Musk made an unannounced trip to China on Sunday, seeking approval for driver-assistance software that could help arrest the carmakers revenue decline. While the companys suite of features require constant supervision and dont make Teslas autonomous, the company charges $8,000 for them in the US, or $99 a month for a subscription.
Investors had been bracing for the worst after a tumultuous week at Tesla that saw big layoffs, executive exits, price cuts and the postponement of a highly touted meeting with the Indian prime minister.
Investors had been bracing for the worst after a tumultuous week at Tesla that saw big layoffs, executive exits, price cuts and the postponement of a highly touted meeting with the Indian prime minister. The newly minted plans also helped Wall Street shrug off the company s weak first-quarter results, including a lower-than-expected profit and the first drop in quarterly revenue in nearly four years.