Tesla replaces laid-off U.S. workers with foreign workers on visas pushed by Musk, report says

Tesla, the electric vehicle manufacturer, has reportedly hired foreign workers holding H-1B visas after conducting a series of layoffs in the U.S.

According to Electrek, Tesla has recently “ramped up its use of H-1B visas to replace U.S. workers it let go during a wave of layoffs earlier this year.” Both current and former Tesla employees confirmed this development in recent days. The company reportedly laid off at least 14% of its 120,000 workforce in 2024.

In the past week, supporters of President-elect Donald Trump’s MAGA movement have voiced anger at Department of Government Efficiency (DOGE) co-chairs Elon Musk and Vivek Ramaswamy, following their call for an increase in H-1B visas and their suggestion that U.S. workers were inferior. Musk, who serves as Tesla’s CEO and largest shareholder, responded strongly to the criticism.

“The reason I’m in America along with so many critical people who built SpaceX, Tesla and hundreds of other companies that made America strong is because of H1B,” Musk wrote on X last week. “Take a big step back and F— YOURSELF in the face. I will go to war on this issue the likes of which you cannot possibly comprehend.”

Electrek also noted that Musk initially entered the U.S. on a student visa. Musk’s brother later acknowledged that they were in the country illegally when they launched their startup, Zip2.

H-1B visas remain a contentious issue, as some argue they may take away job opportunities from U.S. workers. Visa holders are required to continue working for the company that sponsors them or leave the country.

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