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Tesla cancels three June online hiring events for China

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HIGHLIGHTS :

  • Tesla has canceled three online recruitment events for China scheduled this month, the latest development after Chief Executive Elon Musk threatened job cuts at the electric car maker, saying it was “overstaffed” in some areas.
  • However, Musk had not commented specifically on staffing in China, which made more than half of the vehicles for the automaker globally and contributed a quarter of its revenue in 2021.
  • Production at Tesla’s Shanghai plant was badly hit after the Chinese commercial hub began a two-month Covid-19 lockdown late in March.

Tesla has canceled three online recruitment events for China

Tesla has canceled three hiring events in China amid Elon Musk’s warnings of staff cuts at the company, according to Reuters.

Recruiting events for Tesla’s research and development, sales, and supply chain departments were planned for June 16, 23, and 30, according to a company WeChat seen by the news agency.

Tesla did not immediately respond to the Insider’s request for comment made outside of normal working hours.

Musk had not commented specifically on staffing in China

The Texas-based company was not immediately available for comment.

Musk has warned in recent weeks about the risks of recession, but his email ordering a hiring freeze and staff cuts was the most direct and high-profile message of its kind from the head of an automaker, with others describing sky-high demand

Tesla regularly holds such hiring events online in China, with the latest one held in May for summer interns.

Tesla’s China revenue more than doubled in 2021 from a year ago, contributing to a quarter of the total income for the U.S. automaker.

However, output at the plant was badly hit by Shanghai’s two-month COVID-19 lockdown that saw it halt work for 22 days and later struggle to return to full production. Prior to this, Tesla had planned to ramp up production at the plant to 22,000 cars a week by mid-May.

Production at Tesla’s Shanghai plant was badly hit after the Chinese commercial hub

Musk, the chief executive, said in an email seen by Reuters last week that he had a “super bad feeling” about the economy. And needed to cut 10% of staff at the electric car maker. The email was titled “pause all hiring “.

Notification of a June 9 event to recruit staff for “smart manufacturing” roles was not visible and it was not immediately clear if it had been held as planned.

The China operation is still allowing resume submission for more than 1,000 openings posted on the social media platform, such as aerodynamics engineers, supply chain managers, store managers, factory supervisors, and workers.

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