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Tesla fired hundreds of employees in past week

By Minjun Park
1 min read
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In this article (4)

It’s about 400 people ranging from associates to team leaders to supervisors. Luxury electric vehicle maker Tesla Inc fired about 400 employees this week, including associates, team leaders and supervisors, a former employee told Friday.

The dismissals were a result of a company-wide annual review, Tesla said in an emailed statement, without confirming the number of employees leaving the company.

“It’s about 400 people ranging from associates to team leaders to supervisors. We don’t know how high up it went,” said the former employee, who worked on the assembly line and did not want to be identified.

Though Tesla cited performance as the reason for the firings, the source told Reuters he was fired in spite of never having been given a bad review.

The Palo Alto, California-based company said earlier in the month that “production bottlenecks” had left Tesla behind its planned ramp-up for the new Model 3 mass-market sedan.

The company delivered 220 Model 3 sedans and produced 260 during the third quarter. In July, it began production of the Model 3, which starts at $35,000 – half the starting price of the Model S.

Mercury News had earlier reported about the firing of hundreds of employees by Tesla in the past week.

Questions & Answers

Q.

What roles did the employees who were fired hold within Tesla?

A.

The employees who were dismissed ranged from associates to team leaders and supervisors. A former assembly line employee confirmed this range, although it is unclear how high up the hierarchy the firings went.

Q.

What reason did Tesla give for the dismissals?

A.

Tesla stated that the dismissals were a result of a company-wide annual performance review. However, a former employee claimed they were fired despite never receiving a bad review.

Q.

Did Tesla confirm the exact number of employees fired?

A.

No, Tesla did not confirm the specific number of employees leaving the company. A former employee, however, estimated that approximately 400 people were affected by the dismissals.

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