"Tesla is continuing to grow and hire new employees around the world".
"As with any company, especially one of over 33,000 employees, performance reviews also occasionally result in employee departures". He worked at Tesla for almost four years, and said he heard about 60 other workers in his section of the factory were dismissed. The San Jose Mercury News interviewed multiple former and current Tesla employees who estimated that between 400 and 700 workers lost their jobs.
Meanwhile, a Tesla representative said the dismissals would not have an effect on Model 3 production and that a "vast majority" of the vacant positions would be filled with new hires.
"Model 3 production was less than anticipated due to production bottlenecks", Tesla wrote in an October 2 investor letter.
Workers in sales manufacturing and administrative roles were fired after the annual reviews were gone through. Tesla claims that these dismissals are based upon performance and include associates, team leaders, and supervisors.
In an absurd demonstration of Musk's weird management style, the company said the mass terminations have "generally boosted worker morale", as high-performing employees have been rewarded.it was unclear what the 700 layoffs, pardon, exit events did to worker morale.
The firings were wide-ranging, and are said to have included managers.
The layoffs came with little or no warning, they said.
Musk also has delayed the introduction of self-driving semi-truck to November to focus on getting Model 3 ready for delivery to waiting customers. Tesla dismissed the employees after it bought the company, which manufacturers and installs rooftop solar panels, for about $2 billion in 2016.
Last month's production of Model 3 electric cars having totaled just 220 cars, far short of the 1,500 cars predicted in a July tweet by CEO Musk.
"Tesla indicated that all the production equipment for Model 3 was installed and working and that all vehicles were moving through the manufacturing line".