Tesla has replaced some of its US employees who were let go as part of a big wave of layoffs...

Summary

Tesla replaced many laid-off U.S. workers with foreign H-1B visa holders after a 2024 wave of layoffs affecting 15,000 employees.

These visas, tied to employer sponsorship, often lower compensation and give employers significant leverage over workers.

Critics argue this displaces U.S. employees, as senior engineers were replaced by lower-paid junior engineers.

CEO Elon Musk, while advocating for expanding H-1B visa caps, faces backlash, especially from conservatives, for “job-stealing” concerns.

Musk contends there’s a U.S. skill shortage, but critics highlight potential exploitation tied to Tesla’s demanding work culture and visa dependence.

  • @[email protected]
    22•6 days ago

    If it’s software engineers and such (where usually a bunch of H1B visas come into play), the domestic workers absolutely want way more than 100k.

    • @[email protected]
      8•6 days ago

      It’s not about the 100k number. That’s just to say that we are not talking about minimum wage level salaries here. H1B requirements are very strict about equivalent pay for domestic and foreign workers. In my career, I have never been in a situation where at the same title, role responsibilities, and company tenure, there were significant differences in salary levels.

      This is 100% about employers laying off workers

      • hired at much higher salaries than the minimum (like 500k TC for a minimum 180k role) when the job market was competitive and now lowering them because the market has tilted to be employer friendly.
      • releasing unvested stock from experienced employees so they can grant much lower stocks to new employees.

      It affects both US and domestic workers equally.

      However it is the case that H1B workers have no other choice but to find themselves in these exploitative situations since they were also included in earlier layoffs and now have a clock ticking for them to leave the country in 60 days or find a new job. While domestic workers can spend more time exploring options or even starting their own businesses, which is an option not available to H1B workers.

      Ultimately, it’s misguided to make this a domestic vs foreign worker issue when it’s the employers who are being exploitative and taking advantage of the situation because they can.