Which Tesla mistake is being immediately corrected?

Elon Musk’s EV maker announced Monday that it is laying off 10% of its workforce

By
Web Desk
My apologies for this mistake, says Tesla CEO Elon Musk. — AFP/File
My apologies for this mistake, says Tesla CEO Elon Musk. — AFP/File

American technology entrepreneur and founder of SpaceX Elon Musk has admitted the mistake by Tesla for firing the employees without paying them enough compensation, reported CNBC, as the electric vehicle manufacturer recently laid of 10% of its workforce.

The 52-year-old billionaire maintained: "As we reorganise Tesla it has come to my attention that some severance packages are incorrectly low."

"My apologies for this mistake. It is being corrected immediately," he went on.

Musk’s EV maker announced Monday that it is axing over 10% of its global manpower, which is estimated around 140,000 people at the end of 2023, without revealing any details.

The memo sent to his employees Monday, quoted Musk as saying that the layoffs would help, “prepare the company for a next phase of growth.”

Reuters reported on April 6 that Musk’s company ceasing to build affordable cars will continue developing self-driving robotaxis on the same small-vehicle platform.

In a response, Musk wrote on X: "Reuters is lying (again)."

"Elon’s directive is to go all in on robotaxi," the report citing a source said.

Musk wrote on Tuesday apparently confirming the plan: “Not quite betting the company, but going balls to the wall for autonomy is a blindingly obvious move. Everything else is like variations on a horse carriage.”

The Texas-based firm revealed an 8.5% year-over-year decline in first-quarter deliveries, the first decrease since Covid-19.

Earlier this week, Tesla’s senior vice president Drew Baglino, in charge of battery development, and Rohan Patel, vice president for public policy and business development, both stepped down from their posts.