USA finance and payments: summary news | 5 June

Tesla chief Elon Musk makes U-turn, says electric car maker to increase headcount In an…

USA finance and payments: summary news | 5 June

Tesla chief Elon Musk makes U-turn, says electric car maker to increase headcount

In an email to company executives on Thursday, Elon Musk said that he had a “super bad feeling” about the US economy necessitating job cuts. In a separate email on Friday he informed workers that the electric car maker was “overstaffed in many areas” and Tesla would reduce salaried headcount by 10 percent.

Investors upon learning of the news sold off Tesla shares driving the stock price down over 9 percent.

Musk reversed course on Saturday, tweeting that “total headcount will increase, but salaried should be fairly flat.” The company and its subsidiaries employed around 100,000 people at the end of 2021.