Elon Musk fires hundreds of Tesla employees including senior executives amid sales slump: Report

Tesla job cuts: Elon Musk has initiated a series of job cuts at Tesla, dismissing two senior executives and signaling plans to lay off hundreds more employees, as reported by The Information on Tuesday. The move reflects Musk's frustration over declining sales and what he perceives as a slow pace of restructuring efforts within the company, according to an email obtained by the publication.

The departing executives include Rebecca Tinucci, senior director of Tesla's Supercharger business, and Daniel Ho, head of the new vehicles programme. Their exits mark a significant change in Tesla's leadership structure. Tinucci and Ho are expected to leave their positions on Tuesday, with their respective teams also facing dissolution, including approximately 500 employees from the Supercharger group.

In addition to Tinucci and Ho, Tesla's public policy team, led by former executive Rohan Patel, is set to be dissolved as part of the restructuring efforts outlined in Musk's email, according to the report.

Musk's email to senior managers stressed the urgency of the situation, stating, "Hopefully these actions are making it clear that we need to be absolutely hard core about headcount and cost reduction." While acknowledging some executives' commitment to the cause, Musk expressed dissatisfaction with the overall response to the company's challenges.

Tesla, which boasted 140,473 employees globally as of the end of 2023, has yet to comment on the reported layoffs. However, the company's recent struggles, including declining sales and increasing competition in the electric vehicle market, have prompted Musk to take decisive action to address operational inefficiencies.

Daniel Ho, who joined Tesla in 2013, previously served as a program manager for the development of several key Tesla models, including the Model S, Model 3, and Model Y, before assuming leadership of the new vehicles program. Rebecca Tinucci, on the other hand, joined Tesla in 2018 as a senior product manager.

The job cuts come on the heels of the departure of two other senior leaders, Rohan Patel and Drew Baglino, earlier this month. These developments coincide with Tesla's efforts to navigate challenges in the EV market, including declining revenue and an escalating price war.

(With Reuters inputs.)