Elon Musk says in email that Tesla sent ‘incorrectly low’ severance packages to some laid-off employees

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Elon Musk, Chief Executive Officer of Tesla and owner of X, formerly known as Twitter, attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition center in Paris, France, June 16, 2023. 
Gonzalo Fuentes | Reuters

Tesla CEO Elon Musk sent an internal email on Wednesday, telling staffers that the company sent out some severance packages that were too low to a number of laid-off workers this week.

“As we reorganize Tesla it has come to my attention that some severance packages are incorrectly low,” Musk wrote in the brief email. “My apologies for this mistake. It is being corrected immediately.”

Tesla didn’t immediately respond to a request for comment.

The electric vehicle company said on Monday that it would be cutting more than 10% of its global workforce, which totaled around 140,000 employees at the end of 2023.

Few details have been shared by the company about the layoffs, but in a companywide memo sent on Monday, Musk said the layoffs would help, “prepare the company” for a “next phase of growth.”

Earlier this month, Reuters reported that Tesla would be shifting its strategy, and scrapping an earlier plan to produce a more affordable EV in favor of focusing on robotaxi development at Musk’s direction. On Tuesday this week, Musk appeared to confirm that report in a post on X.

Musk hasn’t yet said whether Tesla will stick with his 2023 “master plan,” which laid out “a proposed path to reach a sustainable global energy economy through end-use electrification and sustainable electricity generation and storage.”

The company reported an 8.5% year-over-year decline in first-quarter deliveries, the first drop since 2020, when operations were disrupted by the global pandemic.

Tesla is set to discuss first-quarter results with shareholders on April 23, and executives are likely to reveal more about the restructuring and which departments were most impacted.

In a proxy filing out on Wednesday, Tesla asked shareholders to approve a CEO pay package for Musk that’s equivalent to the record compensation plan the company previously granted him in 2018.

His earlier CEO pay plan, worth $56 billion, was voided in a ruling by Delaware chancery court judge Kathaleen McCormick, who decided that, as CEO, Musk controlled Tesla, and the board’s compensation committee wasn’t independent, among other factors.

Tesla shares have dropped about 37% this year as of Wednesday, closing at $155.45.

WATCH: This is a ‘fork in the road’ period for Musk and Tesla

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12 Comments

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    Sleep can also be necessary because it supplies the perfect opportunity to construct some new muscle cells.
    Focusing your attention on just a small number of core lifts will make all of the difference when it comes to optimum progress.
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    There are many extra great bodybuilders from this era you could study.

    You then multiply this by the variety of units you performed in whole.

    Sticking to presses, pulls, squats and deadlifts are guaranteed to trigger muscle development.

    It’s one of the solely issues that the gym bros and the scientists agree on.
    To build muscle safely and effectively, you’ll need to focus on exercising specific muscle groups with
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    Gold’s Gym in Venice, joined by all of his closest friends—bodybuilding icons like
    the late-Franco Columbu, Frank Zane, and Dave Draper.

    The objective is to keep your core mass-building workout routines in your program.
    The modifications you make shall be to the other
    workouts together with adding new methods every couple
    of weeks. This strategy continually shocks your muscles providing you with continuous development.
    Not solely will this ignite both power positive aspects and new muscle growth, however you’ll additionally get tremendous conditioned on this program.
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    If you schlep to the health club 4 occasions a week, pick up a random pair of dumbbells, and do a couple of sets
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    A training cut up is simply the way you divide your exercise
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    References:

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