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Tesla lays off nearly 200 Autopilot workers

 

Tesla lays off nearly 200 Autopilot workers

Tesla’s Autopilot driver assistance technology may have just hit a major speed bump.

This week, the company laid off 200 hourly employees working on its Autopilot advanced driver assistance feature, shutting its entire San Mateo, California office in the process. News of the firings, first reported by Bloomberg Tuesday and confirmed by TechCrunch, comes amid a deeper belt-tightening at Tesla and during a period of increased scrutiny of Autopilot by regulators and lawmakers.

The layoffs, which were first reported by Bloomberg, are the latest in a string of job cuts taking place in the company after Musk told Tesla executives the company needed to stop hiring and reduce headcount by 10 percent. 

In early June, Tesla CEO Elon Musk reportedly told executives that Tesla needed to cut 10% of its staff, based on a "super bad feeling" about the economy. Now, as Tesla pares back its workforce, new reports are highlighting where some of those cuts are taking place.

At the end of last year, Tesla had almost 100,000 employees, according to Reuters, but it is unclear how many of those employees are salaried and how many are hourly workers.

Most of the Autopilot employees laid off Wednesday were hourly workers, which came as a surprise to many since last week Musk had outlined a plan to boost hourly jobs, Bloomberg reported. 

Employees at the San Mateo office were in charge of evaluating customer vehicle data on Autopilot driver-assistance features, according to Techcrunch.

The layoffs in the Autopilot team also come at an odd time for Tesla, which is facing more and more scrutiny from regulators over auto accidents that occurred when Tesla drivers had Autopilot engaged.

Tesla has been making cuts after Musk said the company’s new factories in Germany and Texas were “money furnaces” as the country continues to struggle with pandemic-related supply chain issues, according to Yahoo, and stating he believes the country is in a recession. 

According to TechCrunch, Tesla's San Mateo office has dwindled by 195 people from an original headcount of 276, and the office itself is now closed. Yet more people could be laid off following Musk's comments that the US economy is on a downward trajectory and that Tesla is overstaffed. Initially, salaried workers were said to be the ones that would be affected by staff downsizing, but the loss of the San Mateo hourly workers shows that nobody's job is safe.

It's always grim pondering the loss of income for an individual or family, but with some suggesting that Tesla could face bankruptcy, it's better to consider the well-being of the whole. Hopefully, Tesla can return to growth soon. If only that damn Cybertruck were ready.

Electric vehicle (EV) blog electrek also reports that LinkedIn is flooded with “posts from now former Tesla employees working at its San Mateo office after the automaker let them know yesterday that it would be shutting down the office and letting go of the employees there.”

In a LinkedIn post, Iain Abshier had said that he had "a gut punch" that he would be included in the Tesla layoffs after just two weeks of work.

Another fired Tesla employee Robert Belovodskij wrote that he was notified that the offer he signed to come back to Tesla full-time has been "rescinded due to the current hiring freeze and 10 per cent workforce reduction" 


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