Electric car maker Tesla will likely implement a hiring freeze and wave of layoffs next quarter, according to a report from Electrick on Wednesday.
Back in June of this year, Tesla temporarily stopped hiring and laid off 10% of its staff due to the economy. However, the automaker eventually reversed the hiatus and began hiring again during the second half of the year.
Although it is not yet known how extensive the new hiring freeze will be, the company still plans to expand at several manufacturing sites.
This development comes as Tesla shares have fallen all year despite the company hitting new highs in its quarterly financials. CEO Elon Musk Blame Tesla’s downward spiral on global macroeconomic variables and the Feds.
However, not everyone is buying Musk’s arguments. Since he took over Twitter, there have been concerns that the microblogging platform would distract him from his duties at Tesla. Ross Gerber, Tesla investor and capital manager of Gerber Kawasaki, Recently said that Musk is not fit to run Twitter And instead the focus should be on repairing the damage the acquisition caused Tesla. “I think he just got over his skis in an area where he’s just not suited to handle his finesse,” he said.
Joseph Cirincione, another Tesla investor, Called Musk “a danger to society.” “The concern is that Musk’s erratic behavior on Twitter raises serious questions about his mental stability and ability to manage,” he stated. “Do you trust him to build a car that you depend on to get you safely from one place to another?”
Musk recently conducted a poll on Twitter asking the public if he should step down as CEO of the social media company. Out of over 17 million voters, 57.5% wanted him to step down. He has since acknowledged the results of the poll, saying that he would step down as soon as he found someone “stupid” It’s enough to take the role.”