Tesla expects new employee layoffs

Tesla has suspended hiring new employees and is also planning to cut staff in the first quarter of 2023.

According to Electrek, Tesla is preparing for a potential economic downturn by conducting a new round of layoffs in the first quarter of 2023 and freezing hiring across the company. The decision comes after Tesla recently resumed hiring following a prior freeze and round of layoffs in June.

The automaker may also be feeling pressure from its recent stock price drop, which began in late September and worsened when Elon Musk acquired Twitter. Musk has stated that the stock market's general volatility and rising interest rates, rather than any specific issues facing Tesla, are to blame for the company's poor performance with investors. However, some critics believe Musk's distractions may also be contributing to the company's struggles.