Elon Musk says the “inevitable” US recession is likely to come soon Elonas Muskas

Elonas Muskas warned that the US recession is likely to come sooner as the head of Tesla has approved plans to cut 10% over the next three months.

The richest man in the world said a recession in the US is imminent, but it is likely to come soon.

“It simply came to our notice then. As for a recession in the near future, this is more likely than not, “Musk said in an interview at Qatar’s economic forum in Doha on Tuesday.

Musk said Tesla plans to cut staff by 10% and approved plans announced by Reuters in an internal e-mail this month.

“Over the next three months or so, Tesla will reduce its paid workforce by about 10 percent,” Musk said at an event hosted by Bloomberg. “We hope to increase our hourly workforce. However, we have been growing very fast in the area of ​​wages and a little too fast in some areas.

Tesla employs just under 100,000 people, but Musk said the reduction would be around 3.5% as hiring makes up about a third of the workforce and Tesla is increasing its hourly workforce. about two-thirds of the workforce.

Musko’s prospects echo the comments of other leaders, including JPMorgan boss Jamie Dimon, who warned this month that “a hurricane is raging behind us.” U.S. President Joe Biden reiterated Monday that he believes the U.S. downturn is not inevitable, even as the world’s largest economy struggles to fight high gasoline prices and inflation, the highest in 40 years. Former U.S. Treasury Secretary Lawrence Summers told NBC News on Sunday that he too expected a recession.

Musk also talked about his $ 44 billion. The $ 36 billion bid for Twitter was officially approved by the board of the social media company on Tuesday.

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Musk said there are unresolved issues, including the share of debt in the deal and the number of junk users. Lawyers representing Tesla’s boss have warned he may withdraw from the deal over a dispute over how Twitter calculates the number of fake or spam accounts on its platform.

“We are still waiting for a solution to this issue, which is very important,” he said, reiterating his doubts about Twitter’s allegations of false or e-mail. spam accounts for less than 5% of the 229 million daily active users.

Musk also expressed doubts about the debt financing of the deal, which is being collected by a consortium of banks pledging $ 13 billion.

“And then, of course, the question arises, will the debt portion of the tour come to an end? And will shareholders then vote in favor?

Musk said he would like 80% of North America and half of the world to be included on Twitter. “My Twitter ambition is to be as inclusive as possible,” he said.

Godfrey Kemp

"Bacon fanatic. Social media enthusiast. Music practitioner. Internet scholar. Incurable travel advocate. Wannabe web junkie. Coffeeaholic. Alcohol fanatic."

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