AUSTIN (KXAN) — Some Tesla employees in Austin are now left without a job.
According to our media partners at the Austin Business Journal, the company is laying off more than 10% of its workforce globally.
Tesla CEO Elon Musk detailed the plans in a memo sent to employees.
Musk’s memo said as Tesla prepares for its next phase of growth, “it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” The New York Times and CNBC reported.
KXAN reached out to Tesla for additional comment but has not heard back yet.
‘It’s heartbreaking’
KXAN spoke with one employee who said they were let go. The person, who asked not to reveal their identity, said they woke up to an email Monday morning with details about the layoffs.
“It’s just crazy. It’s heartbreaking. It’s just a lot to take in within such little time.”
Former Tesla Employee
The email was titled “Tesla Employment Update,” and it notified certain employees that they were fired effective immediately.
“Your last working day will be today, April 14, 2024. Effective now, you will not need to perform any further work and therefore will no longer have access to Tesla systems and physical locations,” the email forwarded to KXAN read.
The employee said they were completely blindsided.
“It was out of nowhere. I wasn’t expecting it. I was thinking that I was gonna get up today later on and get ready for work,” the employee said. “I just want to cry.”
That employee, a single parent, said the news came at the worst possible time. They were in the process of moving into a new apartment.
They were supposed to get their keys on Wednesday and give their deposit. Now, it’s all come to a halt.
“I will no longer be able to get that because I don’t have a verification of employment. So now as a single mother, I’m supposed to be out of my apartment on [April] 18th,” the former Tesla employee said. “I’m basically left with nowhere to go.”
Other employees KXAN spoke with said they are left picking up the pieces.
“I went to my Outlook, which is my company email, and that was blocked. Then their primary app was also blocked. I had a whole panic attack.”
Former Tesla Employee
The employees told us they are trying to find a new job as soon as possible.
“I’m definitely going to be looking for more jobs,” one employee said. “Already applied to other automotive industries.”
Shares of Tesla fell nearly 3% Monday after news of the layoffs and departures broke. Shares of Tesla Inc. have lost about one-third of their value so far this year as sales of electric vehicles soften.
