According to reports, this past week Tesla fired about 400 employees. The timing of this is rather peculiar as it was recently noted that the electric vehicle manufacturer was in "production hell," with the Model 3 significantly ramping up its production.

The Model 3 has missed the forecasting mark in a rather big way. Less than 300 units were shipped in September, which dwarfs the initial forecast of 1,500 vehicles being delivered. 

Tesla released a statement on the firings attributing it to the annual performance review process. While Tesla will not comment on the number of employees who have moved on, if it's around 400 then that's just over one percent of its total headcount.

Frankly, that's not too alarming from my perspective. 

Tesla's statement on the firings, below:

"Like all companies, Tesla conducts an annual performance review during which a manager and employee discuss the results that were achieved, as well as how those results were achieved, during the performance period. This includes both constructive feedback and recognition of top performers with additional compensation and equity awards, as well as promotions in many cases. As with any company, especially one of over 33,000 employees, performance reviews also occasionally result in employee departures. Tesla is continuing to grow and hire new employees around the world."

So, what do YOU make of this round of firings?

**Special thanks to BobM for the tip on this story!

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Tesla Fires 100s Of Employees As Model 3 Ramps Up In

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