Tesla Inc. – the electric car making giant – has started firing employees from its Solarcity business for performance reasons only a week after firing more than hundreds of employees from its motor vehicle division. In addition to this, the electric carmaker earlier announced a round of layoffs at its solar power business.
Tesla planning to lay off 205 employees by October end
The terminations are part of a normal performance review process, says the automaker but half a dozen ex-employees have told the news site CNBC that they had not information about the dismissals. In an interview to the news publisher, six employees – who asked to remain anonymous – said that the claim of the electric car maker that the firings were based in performance reviews was impossible because no reviews had been conducted since the clean energy company was purchased by the automaker in 2016.
Last month, the automaker – which is led by Chief Executive Officer Elon Musk – announced that by the end of October, it planned to lay off 205 SolarCity employees at its Roseville, California, office. Also, the EV making giant said that additional employees were laid off as part of wide house cleaning of the EV maker.
The dismissals extend beyond California, affecting offices in Arizona, Nevada, Utah, and elsewhere, according to the news channel. The news channel CNBC contacted three SolarCity employees who were fired recently by the automaker and who worked in disparate city offices. The three SolarCity employees said that they had asked the Human Resource department at the EV making company for a copy of their performance reviews but those copies never materialized.
Tesla CEO delays Semi truck announcement to focus on Model 3 production
For the automaker, this news has come at a quite fragile moment because currently it is running behind on production of its mid-stream affordable EV – the Model 3 sedan. Musk has also decided to delay the announcement of new semi-truck of the automaker to November. This is because the EV making giant wants to focus only on Model 3 and its production.
Around 400 to 700 people were fired from the Palo Alto headquarters of the automaker, according to a report of the Mercury News. The report which came last week also said that the layoffs affected everyone from engineers to factory workers to managers.
According to the automaker, SolarCity’s Roseville office will remain open with 50-plus employees, however, the former workers claim that the office will be shut down. A spokesperson told the news channel, “As with any company, especially one of over 33,000 employees, performance reviews also occasionally result in employee departures. Tesla is continuing to grow and hire new employees around the world.”