Tesla's Top Engineering Exec Departs As 10% Of Workforce Gets Cut
Two top Tesla executives resigned on Monday as layoffs rocked the electric automaker.
Longtime Tesla engineering executive Drew Baglino left the automaker on Monday, Bloomberg first reported.
The shakeup came as Tesla grapples with declining sales and a dropping stock price. Tesla CEO Elon Musk on Monday sent an email to staff saying that the company planned to lay off more than 10% of global staff, Electrek first reported.
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Tesla is grappling with slow demand for its cars, an aging product lineup and a share price that's down some 34% this year. Now it's laying off more than 10% of staff to cut costs and has lost two key executives.
Baglino announced his departure in a post on X. He started working at Tesla in 2006 and most recently held the title of Senior Vice President of Powertrain and Energy. Baglino led the development of Tesla's motors, batteries and stationary energy storage products and was one of only a few public-facing Tesla executives.
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If you're a current or former Tesla employee with something to share about these layoffs and what's going on at Tesla, contact this reporter at tim.levin@insideevs.com.
"I made the difficult decision to move on from Tesla after 18 years yesterday. I am so thankful to have worked with and learned from the countless incredibly talented people at Tesla over the years," he said. Musk thanked him for his service in a reply.
Rohan Patel, Tesla's Vice President of Public Policy and Business Development, also announced his exit on Monday in a post on X. Bloomberg first reported the news. In August, Tesla lost another longtime executive when CFO Zachary Kirkhorn left the company after 13 years.
In a memo to staff, Musk said Tesla would cut staff to reduce redundancy.
"As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity. As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally," he said, per multiple outlets.
After years of ferocious growth, Tesla has hit a rough patch. Rising competition and an aging model lineup are hurting sales. In the first quarter of 2024, Tesla reported its lowest vehicle sales in years. Meanwhile, Musk has reportedly prioritized a robotaxi project and shelved plans to build a cheaper consumer vehicle, leaving Tesla without much of a product roadmap for the coming years.
Losing top talent likely won't help matters.
Are you a current or former Tesla employee with something to share? Have insight in to what's happening at Tesla? Contact this reporter at tim.levin@insideevs.com
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