Tesla loses another manager to layoffs – but this one quit due to morale
The Tesla layoff saga continues, with a manager leaving the company after 7 years. But this time, the manager wasn’t laid off, but rather left on his own volition due to the effect that layoffs had on morale.
It seems like every few days there’s another notice of new layoffs at Tesla. It started with Tesla laying off “more than 10%” of its global workforce in mid-April, a layoff round which had been rumored for some time.
In the wake of that first announcement, we’ve heard of many entire teams that have been cut, many seemingly for rather petty reasons.
Tesla’s entire ad team was cut just a few months after being formed because CEO Elon Musk said the ads were “too generic.” And Tesla’s entire supercharging team felt Musk’s wrath after its standout head, Rebecca Tinucci, apparently did not satisfy Musk’s desire for more cuts – so instead, he axed the entire team, despite it being one of the most-successful within the company.
Tesla also laid off several workers in software and service earlier this week, despite service still being a necessary department to grow as more Tesla vehicles hit the road and continue to age.
The layoffs haven’t just included rank-and-file employees, but many high-ranking executives, leading observers to notice that Musk seems to be trying to isolate himself at the top. Currently, Tesla only has one C-level executive other than Musk himself listed on its corporate governance page – CFO Vaibhav Taneja, who was elevated to that role in September. Tom Zhu is still listed as head of automotive, despite Electrek reporting that he’s been demoted back to head of China earlier this week.
The layoffs are affecting morale, with many employees wondering when the bleeding will stop and if their division might be next to fall to the CEO’s frantic whims. And observers can’t help but wonder why Musk is continuing to take such destructive actions to his own company.
The low morale associated with these layoffs claimed one victim this week, as a Tesla manager decided to leave the company amid the chaos, saying that Tesla “has taken its pound of flesh.”
Rich Otto, head of product launches, resigns from Tesla
Rich Otto was the Head of Product Launches at Tesla, having worked at Tesla for 7 years and previously working at Faraday Future.
Otto started in Tesla’s communications team, working with Tesla’s fleet of vehicles for press and reviewers, and went on to manage that team. He was the person responsible for getting cars to tech reviewers.
After that, Otto moved on to be the head of product launches, acting as the program manager for Tesla’s launch events. He managed the events for the first deliveries of Model S Plaid, Model Y and Cybertruck, and Tesla’s Cyber Rodeo at Gigafactory Texas. He also worked on other aspects of Tesla’s customer-facing communications.
Otto said in a LinkedIn post that he loved the collaborative working environment within Tesla, and most of all loved the people working there.
But now, with the effects of the layoffs on morale, not only are some of the “great people” formerly working at Tesla no longer there (like Daniel Ho, head of Vehicle Programs, who worked with Otto on vehicle launches but was laid off alongside the supercharging team), but those still working there are wondering what the path forward is. In his post, Otto said it’s “hard to see the long-game” of these decisions.
Why leave? It’s a company I love and that has given me so much, but has also taken its pound of flesh.
Great companies are made up of equal parts great people and great products, and the latter are only possible when its people are thriving. The recent layoffs that are rocking the company and its morale have thrown this harmony out of balance and it’s hard to see the long-game. It was time for a change.
-Rich Otto, Former Head of Product Launches at Tesla, on LinkedIn
Otto says that he sent his resignation last week, and that he’s going to take some time off before figuring out what to do next.
Electrek’s Take
We’ve said time and time again that the nature of how Tesla is conducting these layoffs would affect morale, and this is just one example of a high-ranking veteran employee who decided they’d had enough.
Maybe some will consider this a good thing, because if headcount reduction is the most important thing for Tesla right now, then getting people to leave voluntarily can only help in the headcount reduction goal.
However, a company should have a more structured method to its layoffs. This does not seem to be an example of an employee who already had bad morale leaving – it’s an example of an employee whose morale was negatively affected by the chaotic actions of current management, and seemingly unending rounds of layoffs, responding and thinking that he could do better elsewhere away from the unnecessary stress being imposed on everyone in the company by the CEO himself.
If the goal of layoffs is to eliminate low performers, this isn’t how you do it. And if the goal is to eliminate those who already have bad morale, making employees’ morale worse is not the way to do it.
As a contrast, we also saw VW undertake some layoffs in Germany at the start of this month, and that hasn’t led to nearly as chaotic a situation within that company.
Instead of firing entire teams because of personality conflicts with their successful leaders, VW offered contract buyouts to its workers. This means that low-morale workers, or workers close to retirement, can depart on good terms. And current workers can remain secure in their jobs, thus affecting overall morale a lot less (and maybe even positively, as low-morale workers are likely the first to take the buyouts).
And VW still gets its desired money savings from trimming headcount. But it doesn’t have to deal with the poor PR of chaotic layoffs, or of post-employment chaos like sending incorrect severance packages and having no idea which suppliers they’re working with, as Tesla has.
Maybe it would be good for Musk to take some notes from a real CEO, especially while he’s currently trying to convince shareholders to give him $55 billion – enough to pay the 14,000+ employees he’s laid off six-figure salaries for ~40 years – amidst the chaos his part-time management is causing.
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The Dodge Charger Daytona EV made headlines when it rolled out fake engine noises as a way to make the EV appeal to muscle car drivers. As it turns out, they weren’t the right sort of fake engine noises – and now Stellantis has to recall 8,000 of them for a fix.
According to the ChryCo fans at Mopar Insider, Stellantis is recalling ~8,390 examples of its 2024 to 2025 Dodge Charger Daytona EVs because of an exterior amplifier that may be missing critical enabling the amp to emit exterior sounds – including the Federally mandated pedestrian warning sounds designed to keep pedestrians safe.
What’s more, the recall’s “suspect period” reportedly begins on 30APR2024, when the first 2024 Dodge Charger Daytona was produced, and ends 18MAR2025 … when the last Charger EV was produced.
RECALL CHRONOLOGY
- On April 17, 2025, the FCA US LLC (“FCA US”) Technical Safety and Regulatory Compliance (“TSRC”) organization opened an investigation into certain 2024–2025 model year Dodge Charger vehicles that may not emit exterior sound.
- From April 17, 2025, through May 13, 2025, FCA US TSRC met with FCA US Engineering and the supplier to understand all potential failure modes associated with the issue. They also reviewed warranty data, field records, and customer assistance records to determine field occurrences.
- On May 14, 2025, the FCA US TSRC organization determined that a vehicle build issue existed on certain vehicles related to a lack of EV exterior sound, potentially resulting in noncompliance with FMVSS No. 141.
Without the software patch, the vehicles don’t comply with the requirements of Federal Motor Vehicle Safety Standards (FMVSS) No. 141, “Minimum Sound Requirements for Hybrid and Electric Vehicles.” The rule requires noisemakers for EVs and hybrids when operating under 19 mph, the safest speeds for pedestrians.
Basically, if you have a Dodge Charger EV, expect to get a recall notice.
It just keeps getting funnier
If you’re not familiar with the Charger Daytona EV’s “Fratzonic Chambered Exhaust,” it’s a system that employs a combination of digital sound synthesis and a physical tuning chamber (translation: a speaker) to produce a 126 decibel sound that approximately imitates a Hellcat Hemi V8 ICE. That’s loud enough to cause most people physical pain, according to Yale University – putting it somewhere between a loud rock concert and a passenger jet at takeoff.
While you could argue that such noises are part and parcel with powerful combustion, they’re completely irrelevant to an EV, and speak to a particular sort of infantile delusion of masculinity that I, frankly, have never been able to wrap my head around. Something akin to the, “Hey, look at me! I’m a big tough guy!” attention-whoring of a suburban Harley rider in a “Sons of Anarchy” novelty cut, without even enough courage to ride a motorcycle, you know?
You know – and I bet you can help me dial in the the comparison to perfection (and help me explain why the car just isn’t selling) in the comments section at the bottom of the page.
SOURCE: Mopar Insiders; featured image by Stellantis.
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Is it an electric van or a truck? The Kia PV5 might be in a class of its own. Kia’s electric van was recently spotted charging in public with an open bed, and it looks like a real truck.
Kia’s electric van morphs into a truck with an open bed
The PV5 is the first of a series of electric vans as part of Kia’s new Platform Beyond Vehicle business (PBV). Kia claims the PBVs are more than vans, they are “total mobility solutions,” equipped with Hyundai’s advanced software.
Based on the flexible new EV platform, E-GMP.S, Kia has several new variants in the pipeline, including camper vans, refrigerated trucks, luxury “Prime” models for passenger use, and an open bed model.
Kia launched the PV5 Passenger and Cargo in the UK earlier this year for business and personal use. We knew more were coming, but now we are getting a look at a new variant in public.
Although we got a brief glimpse of it earlier this month driving by in Korea, Kia’s electric van was spotted charging in public with an open bed.
The folks at HealerTV found the PV5 variant with an open bed parked in Korea, offering us a good look from all angles.
From the front, it resembles the Passenger and Cargo variants, featuring slim vertical LED headlights. However, from the side, it’s an entirely different vehicle. The truck sits low to the ground, similar to the one captured driving earlier this month.
When you look at it from the back, you can’t even tell it’s the PV5. It looks like any other cargo truck with an open bed.
The PV5 open bed measures 5,000 mm in length, 1,900 mm in width, and 2,000 mm in height, with a wheelbase of 3,000 mm. Although Kia has yet to say how big the bed will be, the reporter mentions it doesn’t look that deep, but it’s wide enough to carry a good load.
The open bed will be one of several PV5 variants that Kia plans to launch in Europe and Korea later this year, alongside the Passenger, Cargo, and Chassis Cab configurations.
In Europe, the PV5 Passenger is available with two battery pack options: 51.5 kWh or 71.2 kWh, providing WLTP ranges of 179 miles and 249 miles, respectively. The Cargo variant is rated with a WLTP range of 181 miles or 247 miles.
Kia will reveal battery specs closer to launch for the open bed variant, but claims it “has the longest driving range among compact commercial EVs in its class.”
In 2027, Kia will launch the larger PV7, followed by an even bigger PV9 in 2029. There’s also a smaller PV1 in the works, which is expected to arrive sometime next year or in 2027.
What do you think of Kia’s electric van? Will it be a game changer? With plenty of variants on the way, it has a good chance. Let us know your thoughts in the comments below.
Source: HealerTV
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