Large-scale layoff for Tesla (Electric Vehicle) Employees

Tesla has sent an internal memo to Cybertruck employees. Who has been asked to work fewer hours in Gigafactory, Tesla has sent a memo to its employees in which it is written that now the shift hours of Cybertruck employees will be reduced. Cybertruck is a futuristic electric pickup truck from Tesla. That is known for its robust construction, advanced technology, and impressive performance.

Is Tesla preparing for a huge layoff of its employees? 

There is news that Tesla has reduced the duration of shifts of its Cybertruck employees, which will directly impact the production of Cybertruck and we may see further delays in it. Earlier workers had 12-hour shifts from 6 AM to 6 PM and 6 PM to 6 AM. But now they will work in shifts of 11 hours from 6 AM to 5 PM and 6 PM to 4:30 AM. This new schedule has been sent to the employees on Thursday which will be started from Monday.

Well, it is not yet clear for which production this new schedule of Tesla has brought because Tesla cyber trucks and Model Y are made in the same Gigafactory. After this news speculations have been swirling that there is the possibility of a round of layoffs. According to media reports, this potential layoff can go up to as high as 20% of the workforce. This will affect approximately ten thousand employees. It is believed that Tesla has been facing internal and extension issues for a few months. By reducing the working hours of Cybertruck at Gigafactory employees, it is being speculated that Tesla may plan to lay off its employees, but Tesla has not yet given any official comment.

Workers in Sparks, Nevada, and Fremont say that other Tesla factories are still working 12-hour shifts and the factory worker here (electric vehicle maker) is working three to four days a week. From this news, it is believed that Tesla is facing the brunt of slowing demand for EVs. This month, the company’s first-quarter delivery number has fallen very drastically and this decline is from the year 2020.

Elon Musk says that this is a production constraint situation and not a demand constraint situation and according to him, cyber trucks were almost sold out in 2024. Now it is difficult to tell how many cybertrucks Tesla has delivered so far. Tesla launched cybertrucks in November. Cybertrucks require high-level precision because of the truck’s sharp lines and angular designs. The factory’s production of vehicles is handled by Austin company. Tesla aims to make 250,000 cybertrucks every year but doing this is quite challenging for Elon Musk.

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Despite so much uncertainty, investors are still paying attention to the development of this company, but it is estimated that Tesla’s management may soon bring a lot of changes that will make a big difference to the company’s competitiveness in the electric vehicle market.