Tesla's Former CEO: Bloodbath Cuts at Tesla

In addition to electric sports car company Tesla’s production delays, CEO trade-in, recent internal funding and an interim transmission in its first vehicles, the company has also cut a significant amount of staff recently, according to various reports. Former Tesla CEO Martin Eberhard, who left Tesla late last year, lists 26 people, including many high-level execs, who he says have been cut recently, on his new blog ‘Tesla Founder Blog’ (photo from his website).

Eberhard writes:

Watch to see more fall in the coming weeks; I will add to this list as I hear about more. Some of these folks were let go with NO severance package at all. Others got pathetic severance packages. This is not the way I treat people, that is for sure. Maybe this explains why I got the boot first.


The blog post on Eberhard’s site is followed by a long list of disgruntled commenters, some of whom say they are former Tesla employees. The San Jose Mercury confirms at least 16 staff cuts with Tesla’s VP Sales and Marketing Darryl Siry, who tells the Merc that the employee departures are more about accountability than lay-offs.

Update: Siry says he can’t confirm that the cuts are exactly 26, but that the figure is probably near there, and tells us that Eberhard’s list contains people who were let go a while ago for other reasons. Siry also says:

We are not downsizing at all. We are still growing and have dozens of openings we are recruiting for. This was a very specifically targeted action based on performance and also in some cases on redundancy.

Whatever the reason, there’s seems to be a lot of bad blood surrounding the company, which is definitely having some serious growing pains!

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