Main image of article Elon Musk Planning Additional Tesla Layoffs

Tesla plans an additional round of layoffs, according to reports.

While the automaker’s previous layoffs impacted more than 10 percent of its employees, the extent of the latest cuts is unclear. “The rumors we heard suggested that the numbers could involve up to 20 percent of the company’s workforce,” reported Electrik, a blog about the EV industry that’s deeply sourced. And according to The Information, senior Tesla executives have been dismissed, including the director of EV charging and a significant portion of her team.

In an email to Tesla executives, CEO Elon Musk reportedly said he expected staff to be “absolutely hard core” about executing the layoffs and moving on.

Tesla has hit some bumpy road in recent weeks. Its vehicle deliveries declined in the first quarter, and its latest release, the Cybertruck, has experienced some production and delivery issues. Although navigating those challenges will require an innovative, dedicated workforce skilled in multiple cutting-edge technologies, from hardware engineering to artificial intelligence (A.I.)., Musk is clearly feeling the need to also slice costs and headcount.  

Although tech industry layoffs peaked in early 2024, according to crowdsourced data from layoffs.fyi, there has been a gradual decline and leveling-off in recent months. Major tech companies such as Tesla, TikTok, Apple, Amazon, Dell, IBM, and Meta have all implemented workforce reductions, but these cuts should be seen in context: CompTIA's analysis of U.S. Bureau of Labor Statistics data reveals a low unemployment rate of 3 percent for tech professions, and the tech sector actually added a significant number of jobs (203,000) in March.

If you’re worried about layoffs impacting you in the near future, here are some tips to keep in mind:

  • Be proactive: Regularly update your resume and online profiles (LinkedIn, GitHub) to reflect your latest skills and accomplishments.
  • Network: Strengthen your professional network by attending industry events, conferences, or online forums. Reconnect with former colleagues and classmates.
  • Developing Key Skills: Stay ahead of the curve by learning new skills that are relevant to your field. Mastering cutting-edge disciplines such as machine learning and cloud can also make you more valuable to a range of employers.
  • Prepare Your Finances: Having an emergency fund can provide a financial cushion during a job search.

Whatever the future holds for companies such as Tesla, also remember that industries outside of tech also need your skills—casting as big a net as possible during a job hunt can yield awesome results.