In a move regarded as intensifying cost-cutting, Tesla has closed its office in San Mateo, California and fired about 200 staff who were working on its Autopilot driver-assistant system there, one of the sources told.
According to that person, hourly workers made up the majority of those who were let go.
Elon Musk, the CEO of Tesla, informed top managers at the beginning of this month that the company needs to reduce personnel by roughly 10% due to his “very awful feeling” about the state of the economy.
Later, the billionaire claimed that only salaried employees would be affected by the 10% reductions and that the number of hourly employees will continue to rise.
Unmistakably, Tesla is actively cutting expenses “Raj Rajkumar is a professor of electrical and computer engineering at Carnegie Mellon.
The Shanghai shutdown, rising raw material prices, and supply chain challenges all contributed to the company’s challenging second quarter of 2022, as this (the employee cut) most definitely shows.
Anti-pandemic efforts have impeded Tesla’s Shanghai production.
According to the laid-off person who spoke to Reuters, workers at the satellite office had previously been advised that they will shift to an office in Palo Alto in stages beginning this month once the San Mateo lease expires. However, the majority of the employees were let go yesterday.
He acknowledged that it was absolutely numbing. “Yes, we are really shocked and surprised.
Many employees at Tesla’s San Mateo office are involved in data annotation, which involves going over and identifying various pictures gathered from Tesla vehicles to instruct the Autopilot systems in the cars how to handle different types of driving situations.
On Tuesday, several Tesla data annotation staffers posted on Linkedin that they had been fired.
“So today was sort of a letdown. I recently lost my job at Tesla along with practically the whole San Mateo Branch, “A data annotation specialist named Caeser Rosas stated on Linkedin.
The employment layoffs in San Mateo were first covered by Bloomberg.
Tesla’s new facilities in Texas and Berlin, according to Musk, are “gigantic money furnaces” that are losing billions of dollars each year.