By Monday's close, the stock closed up 1.97% to $184.76
The Zhitong Finance App learned that Tesla (TSLA.US) issued another round of layoff notices last Sunday evening, which means that the company's employees have received layoff notices for the fourth week in a row. According to reports, four employees said their manager informed them on Monday morning that the team would make further cuts. Additionally, several Tesla employees said on social media that they received layoff notices over the weekend.
A Tesla employee wrote on social media: “Since mid-April, I've watched my team get cut week after week, and this Sunday afternoon, I received the dreaded 'Hello Employee' email.” Another employee shared a screenshot of her layoff email on social media, showing that her last day of work was May 5.
Earlier, Tesla employees told the media that continuous layoff notices had made them anxious, and many people began to look for other opportunities outside the company.
A current Tesla employee who asked for anonymity said, “I've been waiting for Musk to send another email telling us that they have finally completed the layoff. We need some signs of an end, or a sign that we can stop worrying about losing our jobs.”
Since Musk first announced on April 14 that Tesla would cut more than 10% of its employees, employees have continued to receive layoff notices. At the time, Musk said the layoffs were due to “duplication of roles and functions in certain fields.” Within hours of the release of that memorandum, the company began informing affected employees that they had been fired. However, some employees didn't learn their jobs had been cancelled until they tried to use their work permits to enter Tesla's facilities.
Over the next few weeks, Tesla's layoffs have spread to different teams — from the recruitment team to the marketing team to Tesla's supercharging team. Some Tesla recruiters have also been laid off.
According to reports, Musk told executives last week that the company must be “absolutely strict” on the number of employees. At least six executives have left the company in the past month.
On the same day Tesla announced its first round of layoffs, two executives resigned from the company. Drew Baglino, senior vice president of powertrain and electrical engineering, and Rohan Patel, vice president of public policy and commercial development, said on social media that they had left Tesla on Sunday.
Prior to the layoffs, Tesla had more than 140,000 employees worldwide. The latest round of layoffs came at a time when Tesla was facing a slowdown in demand for electric vehicles. The automaker reported that the number of deliveries in April was lower than expected.
By Monday's close, the stock closed up 1.97% to $184.76.