Tesla has fired hundreds of factory and administrative workers - Mercury News

Tesla is firing hundreds of employees, the San Jose Mercury News first reported on Friday.

The news followed annual reviews at the company, and was revealed just one day after Tesla announced a recall impacting 11,000 of its Model X SUV's worldwide. The recall concerned rear seats that may fail to lock safely in place in the vehicles.

The Palo Alto maker of luxury electric cars fired an estimated 400 to 700 employees, according to the Mercury News. The newspaper based that figure on estimates given by current and former Tesla workers, most of whom spoke on condition of anonymity. The employees cut included managers, engineers and factory workers, according to the paper.
Tesla said the performance-based departures were not considered layoffs and not subject to state notifications. It also said the moves have generally boosted worker morale, as high-performing employees have been rewarded.