SpaceX has announced to release roughly 10 percent of its workforce hours after launching its first rocket of the new year. Its layoffs include 577 positions at California headquarters. The workers were sent home early to await notification to their private email addresses about their future with the company. A huge number i.e. more than 6000 employees of Space Exploration Technologies Corp.’s are employed at its headquarters and rocket factory in Hawthorne, California, and hundreds of others are placed in Texas, Seattle, Washington, D.C. and Florida. According to Jan Vogel, executive director of the South Bay Workforce Investment Board, some 577 positions will be cut in Hawthorne. “It’s always unfortunate when there are large layoffs,” Vogel said in an interview recently. The layoffs include machinists, production managers, avionics technicians, inventory specialists, and propulsion technicians. A decrease in launches in the new year “Next year, you won’t see as many launches as you see in 2018,” said SpaceX President and Chief Operating Officer Gwynne Shotwell. In 2018, SpaceX flew a record 21 missions for customers including commercial satellite operators, NASA, and the U.S. military. Although the market size for launches is bounded and Shotwell has warned that there might be a drop down in orders from the geo-telecommunications industry. Founded in 2002 by Elon Musk, SpaceX aimed to revolutionize space technology. The company has contracts with NASA to fly American astronauts to the International Space Station. In spite of the current government shutdown, SpaceX’s Crew Dragon is scheduled to fly in February, without humans on board for the first time. The Musk-led company is also working on a space-based broadband satellite network and Starship, a larger spacecraft designed to carry humans to Mars. “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,” SpaceX said in a statement Friday. “This action is taken only due to the extraordinarily difficult challenges ahead and would not otherwise be necessary.” Musk is also the chief executive officer of electric-car maker Tesla Inc., which discharged approximately 9 percent of its workforce in June. SpaceX earlier revealed in a regulatory filing that it sold $273 million in equity in the scheme of things to raise a total of $500 million. Investors are valuing the company at $30.5 billion, as per the December reports of the Wall Street Journal. (Source: Financial Express)
Market Research Vision is a leading market research and market intelligence organization, specializing in research, analytics, and advisory services along with providing business insights & market research reports. Serving as a market research firm, we help our clients in finding: what’s next? We believe in finding creative and innovative solutions through customized and syndicated research reports.