According to an employee of Tesla, the electric auto giant plans to freeze hiring and initiate the layoff process in the first quarter of 2023 in anticipation of worsening macroeconomic conditions. Tesla tried to freeze hiring in mid-2022, but abandoned the idea as most Tesla facilities needed extra staff, especially US and German Gigafactories. As you know, Tesla opened two factories (Gigafactory) in 2022.
This time, however, things look pretty serious as the company has already halted hiring and mass layoffs are expected to begin in the first quarter of 2023. However, it is not clear how long the hiring freeze will last and how many employees will be laid off next year.
The news is not surprising – Tesla’s shares are falling due to many factors, and as the company clears its backlog of workload, it may face more problems going forward.
Also, many other companies, especially at a time when growth has been phenomenal over the past few years, laying off staff. Rapid growth often leads to staff inefficiencies, and normally the time to correct them is a market downturn.
We have yet to see how all this will affect Tesla production in 2023. By the way, I thought you would like to know that Tesla will officially start selling in Turkey soon.