Tesla cutting 10% of salaried employees, hiring hourly workers

Electric car maker Tesla is slashing 10% of its salaried workers, Elon Musk told employees on Friday.

In a note to staff Musk wrote that “Tesla will be reducing salaried headcount by 10% as we have become overstaffed in many areas.”

A message sent to company executives a day before stated that Musk had a “super bad feeling” about the economy. He told the clean tech giant to “pause all hiring worldwide,” two days after he demanded staff to return to the workplace from remote work or resign.

Musk clarifies firing and hiring

In another email to employees on Friday, the multibillionaire clarified that while Tesla will be laying off salaried workers, “hourly headcount will increase.” Hourly employees mainly consists of service, sales, and factory workers. It also includes people who install solar and home battery packs.

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“Note, this does not apply to anyone actually building cars, battery packs or installing solar,” Musk wrote in the email seen by several media outlets.

Severance pay for laid off Tesla employees

If you are laid off, fired or lose your job as a salaried or hourly employee working for Tesla in Canada, you are owed full severance pay. A proper severance package can contain as much as 24 months’ pay, depending on several factors.

Try our Severance Pay Calculator – used successfully by over 2 million Canadians – to find out how much compensation you may get.

The employment lawyers at Samfiru Tumarkin LLP have helped tens of thousands of individuals working in Ontario, Alberta and B.C. get the money they deserve after a job loss.