On the evening of October 21st, US time, Jia Yueting's car company Ferrari will send an internal letter to all the employees, saying that due to tight cash flow, the company will implement layoffs and pay cuts.
The layoffs and pay cuts target FF US companies. FF US has more than 1,300 people. According to Caixin’s informed sources, the layoffs are about 25%. In terms of pay cuts, FF America will reduce annual salary by 20%. The hourly salary system will also be reduced by 20%. The founder of the company, Jia Yueting, will receive an annual salary of $1 from October 16, and the FF executive team will receive a salary reduction of more than 20%.
FF said that the background of the layoffs was due to the investor's breach of contract, refusing to perform the previously signed agreement and paying the promised money without legal basis, resulting in financial difficulties for FF. 'Before completing a new round of financing, FF has to implement plans for layoffs and pay cuts at any time,' the statement said.
The statement also pointed out that layoffs are necessary to improve liquidity, focus on core projects, retain core teams, and improve work efficiency and reduce operating costs. For pay cuts, the future goal is to restore employees' previous success after a new round of financing success. treatment.