A “very bad feeling” pushes Elon Musk to reduce the workforce of Tesla by 10%

Tesla boss Elon Musk has a “very bad feeling” in terms of economic prospects and wants “remove around 10% of the electric car manufacturer’s workforce”. This is what he explains in an internal e-mail sent to executives on Thursday and revealed by Reuters this Friday, June 3.

The richest man in the world “also thinks recruiting at Tesla should be paused,” detailed The Free Belgium, while the group employs 99,290 people worldwide. “The company has factories in the United States, China and Berlin, where a total of 930,422 cars were produced last year,” recalls the Belgian daily.

Telecommuting is over

This announcement of a hiring freeze is coming “two days after the billionaire asked his employees to return to their workplaces or leave, and adds to the growing chorus of warnings from business leaders about the risks of recession”, note CNBC.

Tesla shares immediately fell in early trading in New York and Frankfurt, as “for now, demand for Tesla cars and other electric vehicles remains strong” and “the traditional indicators of a slowdown” of the automobile market are not perceptible, adds the American economic media.

Whether “the threat of a recession does not dampen sales of electric cars around the world, explains on his side Time, Tesla, however, suffered from drastic containment measures in Shanghai, where its factory suffered costly production stoppages.

Handelsblatt tried to find out to what extent the new Gigafactory Tesla, near Berlin, was affected by the degreasing, but the German management did not react to its requests. “About 4,000 people are already working there,” recalls the German business daily. Tesla planned to “strongly develop production in Grünheide” by hiring 12,000 people by the end of the year. The local employment office says it knows nothing.

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