Tesla CEO Elon Musk has a “very bad feeling” about the economy and is curious about about 10% of jobs at the electric car maker, he said in an email to executives on Thursday seen by Reuters.
The message comes two days after the world’s richest man told his employees to return to work or leave the company. We need to realize and give praise that Elon’s instincts are always proven from his success in leading Elon to success in several business fields.
We all know that at the beginning of Elon’s economics, he had a simple education in economics and physics. However, as ordinary people, policies often confuse us.
Tesla (TSLA) had approximately 100,000 people in the company and its subsidiaries by the end of 2021, according to SEC filings annually. The company was not immediately available for comment.
Musk’s stern warning about a potential recession and its immediate effects for automakers is the most direct and best-known forecast of its kind in the industry. But has Elon Musk hampered Tesla’s development so that other manufacturers can catch up?
Of course this will be avoided by Elon by maintaining performance by requiring employees to work in the office for forty hours a week or return to normal before the pandemic arrives.
While the risk of a recession has grown, demand for Tesla cars and other electric vehicles remains strong and many traditional indicators of a downturn – including an increase in supplier inventories in the United States – have yet to materialize.
But Tesla has struggled to restart production at its Shanghai plant after the Covid-19 lockdown forced costly outages at the plant. Musk’s somber outlook echoes recent comments from executives including JPMorgan Chase (JPM) CEO Jamie Dimon and Goldman Sachs (GS) President John Waldron.
The economic storm is in sight and many financial analysts are giving their prophecies to the future prospects of the American economy. But how severe the storm will come, and how do we react to it?
Inflation in the United States is at a forty-year high and has led to the cost of living for Americans, while the Federal Reserve faces the difficult task of assuming sufficient demand to curb inflation while not causing a recession.
Prior to Musk’s warning, which came in an email titled “Pause has everything worldwide,” Tesla posted jobs on LinkedIn from sales in Tokyo and engineer at the new Berlin gigafactory to deep learning scientist in Palo Alto.
opened Musk to get staff back into the office to face Germany. “Everyone at Tesla needs a minimum of forty hours in the office per week,” Musk wrote in his Tuesday email. “If you don’t show up, we’ll assume you’ve considered yourself.”
Musk also engaged Thursday on Twitter with Australian tech billionaire and Atlassian (TEAM) co-founder Scott Farquhar, who ridiculed the Directive in a tweet as “like something from the 1950s.”
Musk tweeted: “Recessions serve a vital economic function” in response to a tweet by Farquhar prompting Tesla to look into remote work positions.
The future is a mystery that we don’t really know yet but many of us are so interested in it, at first glance Elon Musk’s announcements are in stark contrast to the progress that has been made to date.
Will Elon be able to keep him this time as someone who has a strong business insting ?
Source: UK Yahoo Finance