Topline
Tesla is rescinding internship offers weeks before its latest class of interns were set to start at the company, according to Bloomberg, furthering the electric vehicle maker’s recent wave of cost-cutting measures and mass layoffs.
Close up of Tesla logo on a charger at a Supercharger rapid battery charging station for the ... [+]
Key Facts
LinkedIn posts from a prospective intern and Tesla employee cited by Bloomberg reveal some interns are receiving notice their offers for the summer are gone.
Miami University student Joshua Schreiber said his start date was three weeks away and that he spent thousands on housing in preparation for the internship.
Diana Rosenberg, who works in Tesla’s battery supply chain, according to her profile, said she was sad to learn a prospective intern had her offer rescinded, noting the would-be intern turned down “several appealing positions” ahead of the summer.
The intern cuts come just one day after Tesla reportedly fired its team responsible for creating vehicle chargers, laying off about 500 people.
Tesla didn’t immediately respond to Forbes’ request for comment.
Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you'll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.
Big Number
More than 3,000. That’s how many university and community college students are hired for internships and apprenticeships at Tesla each year, according to the company’s latest impact report.
What We Don’t Know
It is unclear what share of the internship offers made by Tesla this year were rescinded.
Key Background
Tesla is navigating an intense round of layoffs that has wiped more than 10% of its workforce, with Tesla CEO and billionaire Elon Musk announcing in a staff memo last month the cuts would impact more than 10,000 employees. The electric vehicle maker also fired its Supercharger team recently, including two executives working on the initiative, The Financial Times reported. Tesla reduced its staff by about 3.5% in 2022. The company’s stock has struggled this year, starting off in January at $248 per share and decreasing to $179.99 per share Wednesday. Tesla did not meet revenue expectations in its earnings report published last week, marking the second quarter in a row it has missed on earnings.
Forbes Valuation
We estimate Musk’s net worth at $197.7 billion, making him the second-richest person in the world.
Further Reading
Tesla Stock Slides Again On ‘Ominous’ Reports Of Mass Layoffs (Forbes)
Tesla Fires Supercharger Team—Musk Says Network Will Grow At ‘Slower Pace’ (Forbes)
Tesla Stock Rallies Despite Major Earnings Miss As EV Focus Reaffirmed (Forbes)
