Elon Musk backtracks on his job-cut announcement, claiming that Tesla workforce will grow.

Elon Musk, the CEO of Tesla, has corrected his claims on the company's job losses, indicating that total headcounts will increase.

Sunday, June 5, 2022 | Chimniii Desk

Tesla CEO Elon Musk contradicted his claims on Sunday, claiming overall headcounts will increase, two days after apparently emailing employees about a 10% job decrease. Musk did say, though, that the number of salaried workers may not change. The Tesla company's staff will rise in the following year, according to an unverified Twitter account called Whole Mars Catalog.

"Over the next 12 months, Tesla will hire more people." "Total personnel will increase, but salary should be roughly flat," Musk responded.

According to a Reuters report on Friday, Musk wrote Tesla executives, informing them that the electric carmaker had to halt hiring globally and slash its employment by approximately 10%.

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Tesla employs almost 1 lakh people worldwide, and Musk says he's decreasing the workforce because of his "very negative feeling" about the economy.

Musk is also experiencing a "crypto winter," with the value of his favourite cryptocurrency, Dogecoin, plummeting by over 60% in the previous six months.

Musk handed Tesla staff an ultimatum earlier this week, telling them to either return to work or leave, saying that if they disagreed with the company's policies, they should "pretend to work somewhere else."

He issued a series of letters to staff, warning them that if they did not return to work, they would be fired.

"If you want to work from home, you must be in the office for a minimum (and I mean minimum) of 40 hours a week or you will be fired from Tesla. This is significantly less than what we expect of factory workers "Musk stated,

Despite supply chain issues and a factory closure in China, Tesla made a $3.3 billion profit in the first quarter of this year, with revenue of $18.7 billion.

Tesla produced more than 305,000 vehicles and delivered more than 310,000 in the first quarter.

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