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Tesla begins trimming salaried positions to make way for hourly employees

(Photo: Tesla)

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Tesla has started trimming some of the positions as a part of Elon Musk’s plan to cut 10 percent of the company’s salaried workforce. With the cuts, Tesla will be able to hire more hourly employees that will be responsible for electric vehicle and battery manufacturing.

CEO Elon Musk sent an email to employees earlier this month stating that some executive positions would be eliminated. It was a part of Musk’s plan to eliminate remote work from Tesla’s employment strategy, but the CEO still intended to increase the headcount of its hourly employees.

“Tesla will be reducing salaried headcount by 10%, as we have become overstaffed in many areas,” Musk wrote in the email, obtained by @WholeMarsBlog. “Note, this does not apply to anyone actually building cars, battery packs, or installing solar. Hourly headcount will increase.”

A report from Business Insider shows that at least fourteen Tesla executives have stated on LinkedIn that their positions have been eliminated. Teslarati reported on a Singapore’s Tesla executive being axed from his role, while BI mentions several other employees who have been relieved following Musk’s plans. One of which was a CGI animation lead, who has been at Tesla for over six years.

“I am saddened to go,” the employee said, according to the report. “I truly did enjoy my job, and I am proud of the work that I’ve produced.”

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The omittance of salaried and executive employees to make way for more hourly workers aligns with Tesla’s current goals, which are to increase production as order banks extend. Tesla has struggled with keeping up with production and delivery dates on some of its customers’ vehicles. This has been primarily caused by increased EV demand, which, when coupled with ramping production facilities and plant shutdowns like in China, can spell trouble in the overall consensus. However, Tesla’s problem is not necessarily a bad one.

Tesla will increase its hourly headcount, which includes production associates for both batteries and vehicles, as a part of its plan to limit salaried positions. Tesla had nearly 100,000 people in its workforce at the end of 2021. While the salaried cuts are already happening, this could potentially expand as the automaker’s Career’s website continues to have hundreds, or perhaps thousands, of listed positions.

Musk has also noted his concerns for a coming recession, which could be another strategy to protect Tesla during a tough economic time.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla 2025 Holiday Update: Here’s what it includes, and what it’s missing

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Credit: Grok

Tesla has finally announced the features for the 2025 Holiday Update, which includes a wide variety of new inclusions that are both functional and just for fun.

The new features are plentiful, but there were a handful of things we were expecting to see based on what we know. We don’t want to sound ungrateful, because there are a lot of great new things on the way with this update.

Here’s what was included:

Grok with Navigation Commands (Beta)

Grok will now have the ability to add and edit navigation destinations, which is a drastic improvement considering Tesla owners had to use their standard voice commands for this in the past.

The utilization of Grok will likely improve the navigation experience by offering some insight into your destination, including reviews and other points of interest nearby.

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It will be enabled by using Grok’s “Assistant” personality.

Tesla Photobooth

“Turn your car into a photobooth! Take selfies from inside your Tesla & give yourself a makeover with fun filters, stickers, and emojis. Share with others right from the Tesla app.”

This feature will be available within the Toybox.

Dog Mode Live Activity

When using Dog Mode to keep your four-legged friend comfortable in the car, you’ll now be able to check in on them as it will share periodic snapshots of the cabin, along with live updates on temperature, battery, and climate conditions.

Dashcam Viewer Update

Dashcam clips are awesome, but they’re void of a lot of information, which could be useful in some instances, especially if there is an accident.

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Now, there will be additional details included on each Dashcam clip, like speed, steering wheel angle, and Self-Driving state.

Santa Mode

New graphics, trees, and a lock chime are now available.

Light Show Update

A new Light Show, called Jingle Rush, will be available.

Custom Wraps and License Plates in Colorizer

Colorizer will now be known as “Paint Shop” in the Toybox. You will now be able to personalize your Tesla Avatar with window tints, custom wraps, and license plates. Preloaded designs will be available, but owners will be able to use their USB Flash Drives to create one that suits their style.

Navigation Improvements

Changing the order of your destinations will be easier through a new “Favorites” tab, and Home and Work can now be set by dropping a pin.

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There will also be “Suggested Destinations,” which will be determined through recent trips and habits while parked.

Supercharger Site Map

Perhaps the most significant feature of the Holiday Update, Tesla is adding a 3D view of select Tesla Superchargers by tapping “View Site Map.”

When navigating to a location with this capability, the site layout, live occupancy, and nearby amenities will be available. Drivers will also be able to choose which stall to Supercharge.

This is only available at a handful of locations currently, but it will expand to more Superchargers as it becomes more robust.

Automatic Carpool Lane Routing

Navigation will include an option to utilize carpool lanes. Your route will automatically choose the carpool lane when eligible.

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Phone Left Behind Chime

If the in-car occupant detection system does not see anyone in the car and there is a phone key, or if a phone is left inside the cabin, your Tesla will chime a few seconds after the doors close.

Charge Limit Per Location

You can now save a charge limit for the current location while parked and it will be applied automatically the next time you charge there.

ISS Docking Simulator

In a SpaceX collaboration, Tesla has added this game to its in-car Arcade:

“Become an astronaut and prove your skills by docking with the International Space Station. Control & guide the rocket in this 3D docking simulator game using a set of controls based on actual interfaces used by NASA astronauts.”

Additional Improvements

  • Enable or disable wireless phone charging pads in Controls > Charging (S3XY) or Controls > Outlets & Mods (Cybertruck)
  • Add Spotify tracks to your queue right from the search screen & scroll through large Spotify playlists, albums, podcasts, audiobooks & your library seamlessly, without paging
  • Take the vibes up another level with rainbow colors during Rave Cave. Accent lights color will change along with the beats of your music. App Launcher > Toybox > Light Sync
  • Lock Sound now includes Light Cycle from Tron Mode. Toybox > Boombox > Lock Sound

What’s Missing

There are a handful of features we expected to see with the Holiday Update, but were not included.

Banish Feature

Tesla has been teasing the Banish functionality for quite a few years, but evidently, it is not quite there yet.

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Banish will allow owners to get out of their vehicle at the entrance of their destination, and the car will go find a spot and park itself. Some refer to it as “Reverse Summon.”

Apple CarPlay

With all of the rumors regarding Apple CarPlay and then the evidence that Tesla was working to bring CarPlay to vehicles, we really expected it to come with the Holiday Update.

Tesla reportedly testing Apple CarPlay integration: report

We’re not upset it’s not here, though. Tesla’s in-car UI is significantly better, at least in our opinion.

Parking Spot Selection

One of the biggest gripes about the new Arrival Features with Full Self-Driving v14 is that choosing a set parking spot is not available. This is especially frustrating for Tesla owners who rent or live in townhouse neighborhoods or apartment complexes with assigned parking.

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Tesla seems to be working on this based on the release notes for v14.2, where it said future capabilities would include Parking Spot Selection.

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Man credits Grok AI with saving his life after ER missed near-ruptured appendix

The AI flagged some of the man’s symptoms and urged him to return to the ER immediately and demand a CT scan.

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Credit: Grok Imagine

A 49-year-old man has stated that xAI’s Grok ended up saving his life when the large language model identified a near-ruptured appendix that his first ER visit dismissed as acid reflux. 

After being sent home from the ER, the man asked Grok to analyze his symptoms. The AI flagged some of the man’s symptoms and urged him to return immediately and demand a CT scan. The scan confirmed that something far worse than acid reflux was indeed going on.

Grok spotted what a doctor missed

In a post on Reddit, u/Tykjen noted that for 24 hours straight, he had a constant “razor-blade-level” abdominal pain that forced him into a fetal position. He had no fever or visible signs. He went to the ER, where a doctor pressed his soft belly, prescribed acid blockers, and sent him home. 

The acid blockers didn’t work, and the man’s pain remained intense. He then decided to open a year-long chat he had with Grok and listed every detail that he was experiencing. The AI responded quickly. “Grok immediately flagged perforated ulcer or atypical appendicitis, told me the exact red-flag pattern I was describing, and basically said “go back right now and ask for a CT,” the man wrote in his post. 

He copied Grok’s reasoning, returned to the ER, and insisted on the scan. The CT scan ultimately showed an inflamed appendix on the verge of rupture. Six hours later, the appendix was out. The man said the pain has completely vanished, and he woke up laughing under anesthesia. He was discharged the next day.

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How a late-night conversation with Grok got me to demand the CT scan that saved my life from a ruptured appendix (December 2025)
byu/Tykjen ingrok

AI doctors could very well be welcomed

In the replies to his Reddit post, u/Tykjen further explained that he specifically avoided telling doctors that Grok, an AI, suggested he get a CT scan. “I did not tell them on the second visit that Grok recommended the CT scan. I had to lie. I told them my sister who’s a nurse told me to ask for the scan,” the man wrote. 

One commenter noted that the use of AI in medicine will likely be welcomed, stating that “If AI could take doctors’ jobs one day, I will be happy. Doctors just don’t care anymore. It’s all a paycheck.” The Redditor replied with, “Sadly yes. That is what it felt like after the first visit. And the following night could have been my last.”

Elon Musk has been very optimistic about the potential of robots like Tesla Optimus in the medical field. Provided that they are able to achieve human-level articulation in their hands, and Tesla is able to bring down their cost through mass manufacturing, the era of AI-powered medical care could very well be closer than expected. 

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Tesla expands Model 3 lineup in Europe with most affordable variant yet

The Model 3 Standard still delivers more than 300 miles of range, potentially making it an attractive option for budget-conscious buyers.

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Credit: Tesla

Tesla has introduced a lower-priced Model 3 variant in Europe, expanding the lineup just two months after the vehicle’s U.S. debut. The Model 3 Standard still delivers more than 300 miles (480 km) of range, potentially making it an attractive option for budget-conscious buyers.

Tesla’s pricing strategy

The Model 3 Standard arrives as Tesla contends with declining registrations in several countries across Europe, where sales have not fully offset shifting consumer preferences. Many buyers have turned to options such as Volkswagen’s ID.3 and BYD’s Atto 3, both of which have benefited from aggressive pricing.

By removing select premium finishes and features, Tesla positioned the new Model 3 Standard as an “ultra-low cost of ownership” option of its all-electric sedan. Pricing comes in at €37,970 in Germany, NOK 330,056 in Norway, and SEK 449,990 in Sweden, depending on market. This places the Model 3 Standard well below the “premium” Model 3 trim, which starts at €45,970 in Germany. 

Deliveries for the Standard model are expected to begin in the first quarter of 2026, giving Tesla an entry-level foothold in a segment that’s increasingly defined by sub-€40,000 offerings.

Tesla’s affordable vehicle push

The low-cost Model 3 follows October’s launch of a similarly positioned Model Y variant, signaling a broader shift in Tesla’s product strategy. While CEO Elon Musk has moved the company toward AI-driven initiatives such as robotaxis and humanoid robots, lower-priced vehicles remain necessary to support the company’s revenue in the near term.

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Reports have indicated that Tesla previously abandoned plans for an all-new $25,000 EV, with the company opting to create cheaper versions of existing platforms instead. Analysts have flagged possible cannibalization of higher-margin models, but the move aims to counter an influx of aggressively priced entrants from China and Europe, many of which sell below $30,000. With the new Model 3 Standard, Tesla is reinforcing its volume strategy in Europe’s increasingly competitive EV landscape.

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