Wave of layoffs at Tesla continues

Tesla is continuing to cut jobs and lay off managers and their teams. In total, 20 percent of the workforce could be affected.

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Tesla Model S an Tesla Supercharger

(Bild: Christoph M. Schwarzer)

3 min. read
By
  • Christine Bruns
This article was originally published in German and has been automatically translated.

Lately, Tesla has laid off around 10 percent of its workforce, and now it's apparently the turn of others. Among those laid off are Rebecca Tinucci, Senior Director of EV Charging, the e-car charging station network, and Daniel Ho, Head of the New Vehicle Program, both of whom have served the company for many years. In both cases, the dismissals not only affect the managers themselves, but also most of the employees in their teams.

As reported by news portals The Information and Electrek, Elon Musk wrote an email to his executives last Sunday in which he announced that Tesla would be "absolutely crushing" the cuts. Musk also wrote that employees working under executives who "clearly fail the test of excellence, necessity and trustworthiness" would also lose their jobs.

The new redundancies are not entirely unexpected. The news portal Bloomberg previously reported, citing insider information, that Tesla's total workforce reduction, which began in early April 2024, could amount to up to 20 percent of the workforce, or well over 20,000 employees.

Tinucci was previously responsible for the Supercharger business. She was not only responsible for expanding the network of Tesla charging stations, but also for persuading other manufacturers such as Ford and General Motors to adopt the NACS plug. Her efforts earned her a spot on the TIME 100 Climate list in 2023, as well as being one of only a few women on Motor Trend's auto industry power list (#2).

Despite Tenucci's dismissal, Musk wants to continue building the charging stations for e-cars, according to his email. It remains to be seen whether the dismissals mean that the expansion of the charging network will be pushed less strongly, perhaps reduced.

Just last week, Tesla reported a significant drop in revenue. This was mainly due to falling demand for e-cars. However, the company also continues to struggle with technical challenges. There are also problems with the latest model, for example the Cyber Truck had to be recalled due to difficulties with the power pedal.

New hope is now emerging for the company in China. As previously reported, the driver assistance system has been approved there under certain conditions for the time being. As China is one of the company's most important markets alongside the USA, this could halt the company's downward slide for the time being.

(cbr)