36 votes

The inside story of Elon Musk’s mass firings of Tesla Supercharger staff

10 comments

  1. [5]
    IsildursBane
    Link
    I think this layoff is actually going to have much bigger implications than expected. The article states: Later on, it mentions It also mentions It seems like this layoff is not going to just...

    I think this layoff is actually going to have much bigger implications than expected.
    The article states:

    ...relationships Tesla employees had built with suppliers and electric utilities. Tesla had grown into one of the larger customers for many major utilities around the country, and many had hired new staff and planned new infrastructure based on Tesla’s charging-network expansion plans, the former employees said."

    Later on, it mentions

    “It’s just unfortunate that now they’re stuck holding the bag on all these different projects," one of the former employees said. "It’s really sad to see all these relationships burned and people be really angry - rightfully so."

    It also mentions

    Other companies may be able to fill the gap, the former employees said, but the goodwill built over time with utilities and other contractors from Tesla’s large-scale charging investments will be difficult to replicate.

    It seems like this layoff is not going to just impact short term Tesla charging stations, but that utility providers are going to be more resistant to make plans based on Tesla's plans. So Tesla may struggle for years, even after the staff is replaced. This was also a department that was financially viable, and was a 500 person team that they laid off. The article implies that this firing is based off of their leader, Rebecca Tinucci pushing back on Musk, in a private meeting. Although, it is worth noting that it was a private meeting so we cannot say for certain. This firing may be the thing that finally ousts Musk, since he fired 500 employees over a disagreement, killing a profitable department and ruining relationships that have been built up for over a decade

    22 votes
    1. [4]
      Hobofarmer
      Link Parent
      Call me cynical but I doubt he will be ousted. Nothing else he's done has gotten him the axe.

      Call me cynical but I doubt he will be ousted. Nothing else he's done has gotten him the axe.

      16 votes
      1. IsildursBane
        Link Parent
        I haven't been following too closely, but I recall seeing a few months ago shareholders were frustrated he was getting a full time salary (plus a massive bonus that was disputed), but wasn't...

        I haven't been following too closely, but I recall seeing a few months ago shareholders were frustrated he was getting a full time salary (plus a massive bonus that was disputed), but wasn't working full time (and instead spending his time at Twitter/X). With that, combined with the 20% lowered revenue (which lead to the 20% workforce layoff weeks before this firing), and overall his image becoming more of a liability, the suits may finally oust him. I am not certain that he will be finally ousted, but it seems like his position is getting to be on shakier ground

        12 votes
      2. [2]
        blindmikey
        Link Parent
        He really needs to be though. Also - how is this not obligated through contracts? It can't be a surprise to Utilities that corporations will act erratic.

        He really needs to be though. Also - how is this not obligated through contracts? It can't be a surprise to Utilities that corporations will act erratic.

        9 votes
        1. whbboyd
          Link Parent
          I imagine there will be quite a few (more?) lawsuits over triggered penalty clauses in the coming months.

          I imagine there will be quite a few (more?) lawsuits over triggered penalty clauses in the coming months.

          3 votes
  2. [3]
    SunSpotter
    Link
    Thought I’d post this since I don’t think I’ve seen it brought up on Tildes yet. I drive a Non-Tesla EV so this doesn’t affect me directly, but I do hope it doesn’t end up burning people looking...

    Thought I’d post this since I don’t think I’ve seen it brought up on Tildes yet. I drive a Non-Tesla EV so this doesn’t affect me directly, but I do hope it doesn’t end up burning people looking to buy a car with a NACS port, because I really want to see the market continue to innovate and get better. I’m interested in hearing what other Tilderinos think though. Big deal? Not a big deal? Somewhere in between?

    17 votes
    1. skybrian
      Link Parent
      It seems like yet another reason (as if one were needed) why you should avoid doing business with Musk. So many people burned. Unfortunately, there are situations where there is little choice;...

      It seems like yet another reason (as if one were needed) why you should avoid doing business with Musk. So many people burned. Unfortunately, there are situations where there is little choice; consider how Ukraine depends on StarLink.

      On the other hand, electric vehicles seem to be here to stay.

      21 votes
    2. bret
      Link Parent
      I think NACS is still the de facto winner of the charging standard war. So many automakers have already made the announcement they are making the switch to it

      I think NACS is still the de facto winner of the charging standard war. So many automakers have already made the announcement they are making the switch to it

      16 votes
  3. [2]
    skybrian
    Link
    An article from a few days ago: Tesla Rehires Some Supercharger Workers Weeks After Musk’s Cuts - Bloomberg - archive …

    An article from a few days ago:

    Tesla Rehires Some Supercharger Workers Weeks After Musk’s Cuts - Bloomberg - archive

    Tesla Inc. has begun hiring back some of the almost 500 members of its Supercharging team that Chief Executive Officer Elon Musk dismissed late last month.

    Chief among the personnel who have returned is Max de Zegher, the director of charging for North America, according to people with knowledge of the matter, who asked not to be identified because the information is private. De Zegher was one of the top managers after Rebecca Tinucci, the senior director Musk fired late last month along with virtually everyone else in the charging group.

    Musk, 52, has walked back impulsive cost-cutting measures before. In 2019, he announced Tesla was going to close most of its stores and shift sales online, blindsiding much of his sales team. Ten days later — after landlords refused to let the company out of its leases — the CEO backtracked and raised vehicle prices.

    A similar situation played out at Twitter in late 2022: Soon after Musk laid off roughly half the company, dozens of employees were asked to return.

    6 votes
    1. Hollow
      Link Parent
      I wonder if firing the whole department and then rehiring was a deliberate tactic to stop Rebecca Tinucci (who Musk allegedly disliked for disagreeing with him) from suing for severance by making...

      I wonder if firing the whole department and then rehiring was a deliberate tactic to stop Rebecca Tinucci (who Musk allegedly disliked for disagreeing with him) from suing for severance by making it harder for her to claim targeting.

      2 votes