Syracuse Sun

Tesla's recent announcement of layoffs and the departure of two senior executives has drawn reactions from experts in the field. Matthew Huber, a professor at Syracuse University’s Maxwell School of Citizenship and Public Affairs, expressed his concerns about Tesla's actions, emphasizing the company's prioritization of stock price and profits over responding to climate change. He stated, “Our political leaders continue to say we can trust the green transition to the private sector, and time and time again they prove they’re not up to the task. Tesla should be expanding employment and investment in more affordable EVs and they’re doing the opposite because they prioritize their stock price and profits over responding to climate change.”

Lynne Vincent, associate professor at Syracuse University’s Whitman School of Management, highlighted the challenges Tesla is facing in the current market dynamics. She pointed out the increasing competition in the electric vehicle market and the departure of key executives as factors contributing to the strain on Tesla. Vincent mentioned, “Tesla might have been an early mover in the electric vehicle market, but they are not the only mover now. Other organizations are on their tail now. Tesla is facing external threats from competitors and internal challenges such as Rohan Patel, senior global director of public policy and business development, and Andrew Baglino, senior vice president of powertrain and energy engineering, leaving the organization.”

Vincent also touched upon the impact of these changes on Tesla's workforce, noting the anxiety and concern among employees regarding their future at the company. She mentioned the challenge of replacing the departed executives, stating, “The remaining employees will be experiencing significant anxiety and concern right now regarding their futures at the organization and how their work processes will be changing. Replacing Baglino and Patel also will be challenging. If Tesla is lucky, their exits were planned, and Tesla has a leadership succession plan in place.”

As Tesla navigates through these challenges, experts like Huber and Vincent provide insights into the implications of the company's recent decisions on both its operations and workforce.