SAN FRANCISCO, June 3 – Tesla CEO Elon Musk has plans to eliminate jobs in the Austin-based automaker’s worldwide workforce and stop all hiring to multiple reports.
Musk issued an email message to executives of the company on Thursday that read “pause all hiring worldwide,” according to the memo.
The email stated that Musk has a “super bad feeling” about economic conditions and plans to reduce 10% of positions at the company.
But, a different Tesla memo written via Musk this week clarified the 10% reduction in job opportunities was only for salaried employees and not hourly workers. CNBC said.
According to CNBC, Musk’s second memo said: “Note this does not apply to anyone building cars, battery packs or installing solar. Hourly headcount will increase.”
The rate of inflation in the United States is hovering at 40-year-highs, which has caused the increased living costs for Americans. The Federal Reserve faces the difficult task of reducing demand enough to stop inflation without leading to a recession.
Musk has been vocal recently regarding a rising likelihood that there is a risk that the U.S. economy is slipping into recession.
According to filings with the Securities and Exchange Commission, by the end of 2021, Tesla had hired more than 100,000 employees.