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Tesla is cutting salaries and furloughing workers to ‘manage costs’ during pandemic

Illustration by Alex Castro / The Verge

Starting April 13th, Tesla is cutting pay for all salaried employees in the US, and placing hourly workers who can’t work at home during the novel coronavirus pandemic on unpaid leave, according to an internal email that was viewed by The Verge.

Salaried employees at the vice president level and above will have their pay cut by 30 percent, according to the email, which was first reported by Electrek. Directors and above will have their pay cut 20 percent. Everyone else will receive a 10 percent pay cut, and Tesla said that workers outside the US will see “comparable reductions.” The pay cuts will last through the second financial quarter, which ends in June.

It’s unclear how many hourly workers will be placed on unpaid leave. But it is...

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