Tesla Cuts 10K Jobs, Risks $135M Fine Amid NHTSA Autopilot Scrutiny

May 7, 2024, 06:11 AM

Tesla, under the leadership of CEO Elon Musk, has initiated a significant restructuring of its workforce, resulting in multiple rounds of layoffs across various departments including software, service, and engineering. The layoffs have affected thousands of employees, with reports indicating that up to 20% of the workforce has been cut, totaling another 10K layoffs. This includes the entire Supercharger team, raising concerns about the future of Tesla's EV charging network. Musk cited the need for cost reduction and increased efficiency as reasons for the layoffs. Additionally, Tesla faces regulatory scrutiny over its Autopilot system, with the National Highway Traffic Safety Administration (NHTSA) investigating the adequacy of a recent recall and threatening a $135 million fine if Tesla fails to provide necessary data by July 1.