Tesla, the leading electric vehicle (EV) manufacturer, is undergoing significant changes in its senior management team and charging division. In recent developments, two senior executives have announced their departures from the company: Rebecca Tinucci, senior director of Tesla's Supercharger group, and Daniel Ho, head of new products at Tesla. These departures were confirmed by Elon Musk in emails to senior executives.
The layoffs come amidst falling sales for Tesla and a broader industry trend towards cost-cutting measures. The exact number of employees affected by these cuts is not yet clear, but it is reported that hundreds more are expected to be let go.
Tinucci played a crucial role in the expansion of Tesla's Supercharger network during her six years at the company. Her team was responsible for efforts to get other companies to adopt the North American Charging Standard (NACS) developed by Tesla. Ho, a ten-year Tesla veteran, served as director of vehicle programs and new product initiatives and program manager for the Model S, 3, and Y vehicles.
These cuts follow Tesla's earlier layoffs in April 2024 when it initiated job reductions for at least 14,000 staffers. The total headcount reduction that began earlier this month could potentially end up being as high as 20 percent of Tesla's workforce or well in excess of 20,000 employees.
The timing of these layoffs is particularly noteworthy given that Tesla had recently made deals with major car manufacturers including General Motors and Ford to allow them access to its EV charging network. These partnerships were seen as a significant step towards expanding the reach of Tesla's Supercharger network and promoting the adoption of electric vehicles.
Tesla's stock price has taken a beating in 2024, with profit margins sinking to six-year lows amid price reductions that came in response to increased competition and lower demand for EVs. The company is also dealing with reputational issues impacting its brand, including ongoing investigations into its Autopilot feature, a recall of its Cybertruck, and Elon Musk's contentious behavior both online and in the courtroom.