At an event hosted by Bloomberg on Tuesday, Mr. Musk said Tesla will cut salaried workers by 10% over the next three months while increasing the number of hourly employees.
A report Earlier this month, from Reuters, Musk said he wanted to save 10% of his work, citing an internal email written by Tesla’s CEO. Musk reportedly said in a memo that he had “very bad feelings” about the economy.
Tesla CEO Elon Musk.
Patrick Purle | AFP | Getty Images
However, in a follow-up email to Tesla staff received by CNBC, Musk revealed that the company would reduce salary numbers by 10% and increase hourly staff.
Musk added on Tuesday that the announcement of Tesla’s layoff would affect about 3.5% of the total workforce, and the actual amount was “not super-important.” He added that office workers make up about two-thirds of Tesla’s employees.
“I think a year later, we’ll grow in both salary and obviously hourly,” Musk said.
Two former Tesla employees on Sunday Proceeded against the company It claims to have violated US federal law on “mass dismissal.”
Under the Worker Coordination and Retraining Notice Act, employers are required to notify 60 days in advance of mass dismissals or factory closures.
Musk, the wealthiest person in the world, denied the importance of the proceedings on Tuesday, saying he had “no status.”
“It’s a small proceeding with minor consequences,” he said. “Everything related to Tesla, whether it’s a bike accident or something more serious, is a big headline.”
The treatment of mask workers has recently been scrutinized. He recently told Tesla employees that he had to come to the office or leave the company for at least 40 hours a week.
Including Parag Agrawal, CEO of other tech bosses twitter, Mask is about to buy — Mask is not participating because he took the post-Covid drive into remote work. He says that anyone who wants to work remotely “should pretend to be working somewhere.”
The company also faces allegations of racism against black workers. In February, the California Department of Fair Employment and Housing sued Tesla for complaints about racism and harassment.
Asked about the prospect of a recession in the economy, Musk said it was “unavoidable at some point,” but asked when such an event would occur.
A short-term recession “is likely not”, he said. But he added, “it’s not certain.”
With inflation at historically high levels, economists are worried about the possibility of “stagflation,” where prices will rise but economic growth will worsen.
last week, Federal Reserve It has achieved the largest rise in interest rates since 1994 to curb high inflation.