Tesla trims 3,000 white collar jobs in an effort to finally appear profitable
The move comes on the heels of blue collar layoffs in October of last year, though it was a smaller number at around 700 people.
Free cash flow is the amount of cash a company generates post-capital expenditures. Image via Bloomberg.
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In its entire history, Tesla has only turned a small profit a few times; when it did so, the company pivoted and launched a new model almost immediately, which took it back into the red.
So what made the company trim 9% of its workforce this week?
Profitability.
A least, that’s according to Tesla President Elon Musk. Here’s a screen cap of the announcement that he himself tweeted:
Difficult, but necessary Tesla reorg underway. My email to the company has already leaked to media. Here it is unfiltered: pic.twitter.com/4LToWoxScx
— Elon Musk (@elonmusk) June 12, 2018
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