Elon Musk has ordered Tesla to cut 10 percent of jobs worldwide after saying it had a “super bad premonition of the economy.”
The CEO of the electric car maker also ordered an immediate freeze on emails to staff sent to Reuters on Thursday.
About 100,000 employees are employed by Tesla worldwide, according to its annual documentation from the US Stock Exchange Commission.
Mr Musk’s order to cut 10 per cent of staff comes after he told Tesla employees that their current work from home was effectively over. He tweeted earlier this week that remote workers “should pretend to work elsewhere.”
Remote work can continue at Tesla, provided staff spend at least 40 hours a month in the office. Some interpret this as a silent nod to hybrid work, in which employees divide their time between homework and the office.
Mr Musk said earlier that the United States was “probably in recession”, saying at a conference in Miami in late May: “It will probably be difficult to continue, I don’t know, a year, maybe 12-18 months.”
Speaking at the All-In Summit in Miami Beach, the Tesla chief said: “The honest cause of inflation is that the government has printed a million more money than it had.
“It’s not, you know, super complicated.”
According to Reuters, the US car industry is showing little signs of decline, with car dealers’ inventories showing no signs of an increase as a result of cutting consumer spending and slowing purchases of new vehicles.
Tesla reportedly has about 5,000 vacancies worldwide, currently posted on LinkedIn, including new publications on the recently opened battery factory in Berlin.
Inflation in the United States is now about 8% compared to about 5% a year ago. The White House said that despite the recent slowdown, “inflation is still too high.”
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