Some employees have detailed Tesla’s plans to lay off over 10 percent of its workforce this week, alongside high-profile departures from two company executives.
Tesla employees were informed that they were being laid off early Monday morning, according to an email sent to impacted workers that was obtained by Teslarati. In the email, Tesla writes that the decision came down to restructuring and “was not made lightly,” adding that the layoffs are effective immediately, as of Sunday.
Elon Musk explains Tesla strategy behind layoffs as executives depart
Tesla emails workers affected by layoffs
The email was sent after 1:30 a.m. on Monday morning, and one worker told us that they did not see it until they arrived on-site—at which point they realized they had been locked out of Tesla apps and any previously held computer credentials.
The email also says that affected workers will be receiving information about severance, benefits continuation and other separation documents within 48 hours. Additionally, Tesla writes that the company’s team would be available to answer any questions about the situation.
Another affected worker said that they thought the layoffs were closer to 20 percent of Tesla’s global workforce, though it’s not yet clear how many workers total the company has let go. It has also been rumored that Tesla is holding a crucial all-hands-on-deck meeting on Monday morning, though the details of the meeting are not yet clear.
Tesla has trimmed its workforce multiple times in the past, with an email from CEO Elon Musk in 2022 officially announcing plans to cut workforce by 10 percent.
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Two high-profile Tesla executives depart
Along with the layoffs, two Tesla executives announced their departure on Monday morning. Drew Baglino, Tesla Senior Vice President of Powertrain and Energy Engineering, announced his departure after 18 years at the company, just hours before Rohan Patel, Vice President of Public Policy and Business Development, announced his own departure after eight years.
Patel’s departure also comes after the executive had become particularly vocal on X in the past few months, responding directly to customer and fan inquiries on the platform.
You can read the full email from Tesla notifying workers of the layoffs below.
Dear Employee,
Today we’re sharing a significant decision that impacts the entire organization, and you directly.
Over the years, we have grown rapidly with multiple factories scaling around the globe. With this rapid growth there has been duplication of roles and job functions in certain areas. As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity.
As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount globally. Unfortunately as a result, your position has been eliminated by this restructuring.
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Please know this decision was not made lightly, and we are deeply grateful for the hard work and dedication during your time with us.
Your last working day will be today, April 14, 2024. Effective now, you will not need to perform any further work and therefore will no longer have access to Tesla systems and physical locations.
We understand this news is difficult and are committed to supporting you through this transition. You will receive detailed information regarding severance packages, benefits continuation, and separation documents within 48 hours. Our team will be available to answer any questions you may have and provide support as needed.
Sincerely,
Tesla
Were you impacted by Tesla’s layoffs? What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
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Featured
Tesla finally got its Nevada Robotaxi Permit but with a few catches hard to miss
Nevada granted Tesla’s robotaxi permit, but capped the fleet at just ten vehicles for now.
Tesla has received its robotaxi permit in Nevada, more than two months after regulators closed the public comment period on the company’s application. News of the approval surfaced Wednesday night when Tesla investor and longtime company watcher Sawyer Merritt posted a copy of the interim order, and the Nevada Transportation Authority’s own carrier registry now lists the permit, AVNC Permit 002 under Docket 26-05015, as active for Tesla Robotaxi, LLC.
Tesla asked Nevada in June for authority to run up to 5,000 vehicles in Clark County within a year, however the permit the NTA issued is initially capping Tesla at ten fully autonomous vehicles and confines them to a defined geofence along the Las Vegas Strip corridor. Any expansion of that operating area, or any increase to the fleet size, requires the NTA’s approval first.
Tesla has received its Autonomous Vehicle Network Company permit in Nevada.
The Nevada Transportation Authority says that operations are limited to a maximum fleet of 10 fully autonomous vehicles and shall be conducted only within the Authority-approved Operational Design… https://t.co/Cxfd6GIfDk pic.twitter.com/iOO6wSZkHF
— Sawyer Merritt (@SawyerMerritt) August 13, 2026
The order also sets rules that look more restrictive than what Tesla runs in Austin. Rides are barred on roads with posted speed limits above 45 miles per hour, pickups are off limits within a quarter mile of Harry Reid International Airport without separate authorization, and every vehicle has to carry visible “Robotaxi” markings while notifying riders before each trip that no one is driving. The order also requires “appropriate human supervision”, language that suggests Nevada isn’t ready to let Tesla offer the rides without a safety monitor that it has run in parts of Austin since January. As with standard protocol with robotaxi services, Tesla must report any accident, system failure, or vehicle that becomes stranded on a Nevada road within five business days.
Tesla is entering a market Nevada already knows well. Zoox, the Amazon owned robotaxi company, has run its own autonomous vehicle permit in the state since last year, building up to roughly 100 vehicles and 350,000 rides along the Strip. That history likely explains why the NTA started Tesla at ten cars rather than the fleet size the company asked for. The agency has a template for scaling a permit up once a company proves out its safety record.
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Tesla’s Nevada application first surfaced in June, when the company filed for the permit alongside plans for a maintenance hub in southwest Las Vegas. The company has said it won’t meaningfully scale its robotaxi fleet anywhere until FSD v15 ships, expected in late 2026 or early 2027, which makes the ten vehicle cap less of a constraint today than it might look on paper. For now, Tesla has the legal right to start Nevada rides. Whether it starts before FSD v15 arrives is a separate question the permit doesn’t answer.
Tesla Energy has introduced the Powerwall Lease in conjunction with Tesla Electric, making the service available in Texas. This new option delivers whole-home backup power using two Powerwall units for a net monthly cost of $35 after credits, accompanied by a low fixed electricity rate.
Under the lease terms, customers pay a one-time order fee of $100. The base lease payment for the two Powerwalls is approximately $122 per month during the first year, subject to a 3 percent annual escalator thereafter. Enrollment in a qualifying Tesla Electric Backup plan or Virtual Power Plant plan provides an $87 monthly credit.
Powerwall Lease is now available with Tesla Electric in Texas
Whole-home backup for $35/month, with a low fixed electricity rate
– Two Powerwalls, $0 installation
– Storm Watch outage protection
– One app to manage it all pic.twitter.com/oTzqc6K3aF— Tesla Energy (@teslaenergy) August 13, 2026
This credit lowers the effective cost to roughly $35 per month plus applicable tax.
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Installation of the standard system carries no additional charge. The package features Storm Watch for outage protection and allows complete management through a single Tesla application. The system supplies continuous whole-home backup capability.
The Powerwall system enables households to maintain electricity during severe storms that disrupt the utility grid. When outages occur, the batteries automatically provide seamless backup power to the home.
Tesla announces 100k Powerwalls are participating in Virtual Power Plants
Tesla Storm Watch monitors weather forecasts and ensures the units are fully charged ahead of anticipated severe weather events so that power remains available throughout the disruption, keeping lights, refrigeration, and other essential systems operating without interruption.
Availability is restricted to select Texas locations where retail electric choice exists. Participants must lease exactly two Powerwall units and maintain continuous enrollment with Tesla Electric. Solar panels cannot be included under this particular lease arrangement.
The monthly credit activates automatically once the system is installed, receives permission to operate, and enrollment is confirmed. To retain the credit, customers are required to stay enrolled in Tesla Electric and fulfill all program conditions.
Nonstandard installations that involve electrical upgrades or special permitting may lead to extra expenses and might impact eligibility for the credit, so be sure to check with either your installer or Tesla to ensure you will still qualify.
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Elon Musk continues to tease the unveiling event for the Tesla Roadster, a continuing trend that has grown into a bigger game of “When” for fans who have been waiting years for the car to finally enter production.
A video shared on X of the Joe Rogan Experience podcast that Musk appeared on last year, teasing the Roadster unveiling, was shared once again on the social media platform. The poster said the Roadster event will be “unforgettable.”
Musk agreed:
Yes
— Elon Musk (@elonmusk) August 12, 2026
The timing is interesting because just yesterday, Musk said that we will be getting flying cars, and for years, Tesla has hinted that it could develop a SpaceX cold gas thruster package that would help the car float or fly for a short period of time.
It would be reasonable to assume Tesla’s major delays with this unveiling event are likely caused by the company’s need to break the rules and push the envelope on nearly everything. Last July, Lars Moravy, Tesla’s VP of Vehicle Engineering, said:
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“Roadster is definitely in development. We did talk about it last Sunday night. We are gearing up for a super cool demo. It’s going to be mind blowing. We showed Elon some cool demos last week of the tech we’ve been working on and he got a little excited.”
The latest updates that Tesla has given us are that the Roadster is in design development, and it did have several potential dates for an unveiling event this year, including April. It was then pushed to August.
However, there are no clues as to when Tesla will be ready, and fans are certainly getting frustrated with the delays.
For what it is worth, Franz von Holzhausen told Jay Leno this week that the event would be “very soon.”
We sure hope.
Tesla finally got its Nevada Robotaxi Permit but with a few catches hard to miss
Tesla launches Powerwall Lease for affordable home backup
