Elon Musk backs off on 10,000 Tesla job cuts, will now increase the workforce

Tesla CEO Elon Musk said the electric car company’s staff will “increase” over the next year, just days after sending employees an email about the cuts.

Tesla’s staff will increase over the next year, Elon Musk he said on Saturday – despite a previous report that he had planned to make cuts to his company due to concerns about the economy, the New York post relationships.

“The total workforce will increase, but the salary [sic] it should be pretty flat, ”Musk tweeted in response to a Twitter account that predicted Tesla’s staff would increase over the next 12 months.

Do you want a streaming service dedicated to news? Flash lets you stream over 25 news channels in one place. New to Flash? Try 1 month for free. The offer expires on October 31, 2022>

The billionaire’s tweet came two days after he told Tesla employees in an email that he had a “bad feeling” about the state of the US economy and that he had to lay off about 10% of the electric car maker’s workforce. Reuters reported Friday.

Musk’s disturbing email came two days after the billionaire told staff to return to work or leave, and adds to a growing chorus of warnings from business leaders about the risks of the recession.

Last week, Musk tweeted that he believed it would be beneficial for the US economy to enter recession and that “some failures must occur.”

Tesla’s billionaire chief said the national economy was doomed to a “rude awakening”. He also said that working from home made Americans lazy.

When a Twitter user asked him if he thought there was going to be a recession, Musk replied, “Yes, but it’s actually a good thing. Money has been raining down on fools for too long. “

He then added: “Failures must occur. So, all the things from the home of Covid have made people think that you don’t really need to work hard. “

“Rude awakening coming!”

Musk was then asked how long he thought the recession would last.

“Based on past experience, about 12 to 18 months,” the tech tycoon replied.

“Companies that are inherently negative cash flows (ie value destroyers) must die, so they stop consuming resources.”

Tesla employed nearly 100,000 people at the company and its subsidiaries as of the end of 2021, according to its annual SEC filing.

The company was not immediately available for comment.

Tesla shares closed 9.2% lower on Friday.

This article originally appeared in New York post and has been reproduced with permission.

Originally published as Elon Musk leaps back on 10,000 Tesla job cuts after “super bad feeling” about the economy