Tesla layoffs continue as recruiters get cut
Smith Collection/Gado
- Tesla informed some of its recruiters on Friday that they'd been laid off, sources told BI.
- Elon Musk announced a more than 10% headcount reduction on Sunday night.
- Some Tesla staff learned they'd been laid off shortly after. Another group was notified on Friday.
Tesla layoffs hit its recruiting staff on Friday morning.
Three former Tesla workers confirmed to Business Insider that they had been informed of the layoffs via a call on Friday morning. They requested anonymity as they were not authorized to speak on Tesla's behalf. More former Tesla recruiters have posted on LinkedIn saying they were notified their jobs had been impacted on Friday.
It's unclear how many employees were affected by this round of layoff notices.
The latest layoff notices come after Tesla announced it was laying off more than 10% of its workforce on Sunday night and notified its first round of impacted US employees that same night, according to the two separate emails viewed by Business Insider.
Tesla CEO Elon Musk said in a companywide email on Sunday that there had been a "duplication of roles and job functions in certain areas" due to the company's rapid growth, according to a memo viewed by Business Insider. The billionaire is known for his cost-cutting habits, including cutting X's workforce in half shortly after buying the social media company.
The same day Tesla announced its initial round of cuts at least two executives resigned from the company. SVP of powertrain and electrical engineering Drew Baglino and VP of public policy and business development Rohan Patel said on X they had left Tesla as of Sunday.
The job cuts come as Tesla is facing slower demand for its electric cars. The company's stock is down around 35% year-to-date. Tesla will post its next earnings report on April 23.
The company did not immediately respond to a request for comment about the layoffs.
Do you work for Tesla or have a tip? Reach out to the reporter via a non-work email and device at gkay@businessinsider.com