Proactive Investors - Tesla Inc (NASDAQ:TSLA) has reportedly initiated an internal review to determine the criticality of each employee's role within the company, sparking fears of job cuts.
According to Bloomberg, managers at the electric vehicle giant were asked to assess how critical each of their employees’ roles were to the company in short queries.
Some employees' biannual performance evaluations have also been scrapped, as per the Bloomberg-cited sources, sparking speculation over the possibility of impending layoffs.
Concerns over prospective cuts come as global demand for electric vehicles has looked to stall in recent years, with Tesla itself having repeatedly slashed prices of its vehicles to buoy sales.
Chief executive Elon Musk has previously warned that sales are still set to slow this year despite such moves, with margins also expected to be hit.
The final quarter of 2023 also saw Tesla lose its spot as the world’s leading electric vehicle maker by sales to BYD, which has now outperformed Musk’s firm's production output for two years running.