Tesla did not immediately respond to a request for comment.
The electric vehicle company said Monday it will cut more than 10% of its global workforce, which has about 140,000 employees by the end of 2023.
Few details have been shared by the company about the layoffs, but in a company-wide memo sent Monday, Musk said the layoffs will help “prepare the company” for “the next phase of growth.”
Earlier this month, Reuters reported Tesla will change its strategy, scrapping its previous plan to produce a more affordable EV in favor of focusing on robotaxi development under Musk's direction. On Tuesday this week, Musk appeared to confirm that statement Mail In X.
Musk has yet to say whether Tesla will stick to its 2023 “master plan,” which lays out a “proposed path to achieve a sustainable global energy economy through end-use electrification and sustainable electricity generation and storage.”
The company posted an 8.5% year-over-year decline in first-quarter deliveries after a 2020 that disrupted operations due to the global pandemic.
Tesla is set to discuss first-quarter results with shareholders on April 23, and executives are likely to reveal more about the restructuring and which sectors have been hit hardest.
In a proxy filing on Wednesday, Tesla asked shareholders to approve a CEO pay package for Musk equal to the achievement compensation plan the company offered in 2018.
His previous CEO pay plan, valued at $56 billion, was overturned in a ruling by Delaware Chancery Court Judge Kathleen McCormick, who, as CEO, ruled that Musk controlled Tesla and that the board's compensation committee was not independent, among other factors.
Tesla shares are down about 37% this year as of Wednesday, closing at $155.45.
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