Share

SpaceX to lay off 10 percent of workforce

Share

HAWTHORNE, Calif. (AP) — SpaceX will lay off 10 percent of its roughly 6,000 workers, announcing Friday that it needs to become leaner to accomplish ambitious projects such as creating a spaceship that can carry astronauts to Mars.

“This action is taken only due to the extraordinarily difficult challenges ahead and would not otherwise be necessary,” the company said in a statement.

The layoffs were announced to workers in an email from President Gwynne Shotwell, the Los Angeles Times reported.

The email said laid-off employees will be offered at least eight weeks’ pay and other benefits, along with help with finding new jobs, the Times said.

Elon Musk’s company is financially healthy and was recently valued at nearly $30 billion. It has a lucrative business sending government and commercial satellites into orbit, including a launch from California on Friday, and delivering supplies to the International Space Station.

Trending:
Video Shows Al Sharpton Forced to Shut Down Border Press Conference When Protesters Descend: 'Get Out of Texas'

But the company has several expensive projects in the works. Musk has estimated it will cost up to $10 billion to develop a spaceship that could send humans to Mars. This week he unveiled a steel-clad test flight prototype of the rocket, which he calls Starship.

Another $10 billion project called Starlink would create a constellation of satellites to provide affordable broadband internet service.

This year, the company plans to begin Starship test flights and to launch the first Starlink satellites.

“To continue delivering for our customers and to succeed in developing interplanetary spacecraft and a global space-based Internet, SpaceX must become a leaner company,” the company statement said. “Either of these developments, even when attempted separately, have bankrupted other organizations.”

The Western Journal has not reviewed this Associated Press story prior to publication. Therefore, it may contain editorial bias or may in some other way not meet our normal editorial standards. It is provided to our readers as a service from The Western Journal.

Truth and Accuracy

Submit a Correction →



loading

We are committed to truth and accuracy in all of our journalism. Read our editorial standards.

Tags:
Share
The Associated Press is an independent, not-for-profit news cooperative headquartered in New York City. Their teams in over 100 countries tell the world’s stories, from breaking news to investigative reporting. They provide content and services to help engage audiences worldwide, working with companies of all types, from broadcasters to brands.
The Associated Press was the first private sector organization in the U.S. to operate on a national scale. Over the past 170 years, they have been first to inform the world of many of history's most important moments, from the assassination of Abraham Lincoln and the bombing of Pearl Harbor to the fall of the Shah of Iran and the death of Pope John Paul.

Today, they operate in 263 locations in more than 100 countries relaying breaking news, covering war and conflict and producing enterprise reports that tell the world's stories.
Location
New York City




loading

Conversation