Back in June, Tesla owner Elon Musk said that he will reduce salaried workforce by roughly 10% in the next three months
Adding to the long list of layoffs, Tesla has announced that the company will start a hiring freeze and also start an employee layoff next quarter. The news was first reported by an electric vehicle news website named Electrek.
Up until now Tesla has refused to make any comment on the matter, however despite the news Tesla share prices rose 1% before today’s bell.
This news comes up at a time where Tesla investors are already concerned about Elon’s Twitter buyout. Investors believe that Musk is now spending way more time than he should at Twitter, and that this decreased attention is negatively affecting Tesla and its growth.
These concerns have also contributed to Tesla share prices reaching their one year low. Share market analysts have already started reducing Tesla price targets because of worries arising from a weakness in demand from China.
This was however not the first time Tesla has hinted towards a hiring freeze or layoff. Back in June Tesla owner Musk announced that he will reduce salaried workforce by roughly 10% in the next three months.
Read more:
Israeli Startup Makes Inroads With Personal Flying Vehicle