TuSimple (NASDAQ:TSP) layoffs are coming for employees of the American autonomous trucking company as it plans major job cuts.
The TuSimple layoffs will see the California-based company cut 300 jobs as part of a larger restructuring plan. That represents roughly 30% of the self-driving truck company’s global headcount. This will leave the company with around 750 full-time employees after the cuts.
According to TuSimple, it will suffer between $12 million and $13 million in one-time charges as part of these layoffs. The company expects most of this to hit in the second quarter of 2023. It also believes the layoffs will be complete by the end of the fiscal year.
TuSimple notes that these layoffs are an expansion of its previously announced restructuring plan. It’s seeking to rebalance its cost structure to better align with strategic priorities.
Cheng Lu, President and CEO of TuSimple, said the following about the layoffs:
“We believe this restructuring, while difficult, aligns our capital spend with the pace of overall industry readiness and improves our longterm competitive position. These decisions are not made lightly as they impact many of our colleagues.”
TSP Stock Faces Delisting
Alongside the TuSimple layoffs news, the company revealed a non-compliance notice from Nasdaq. This has to do with the late filing of the company’s Form 10-Q for the quarter ended March 31, 2023.
TuSimple is working to file this report before being delisted. As such, it has requested a meeting with the Nasdaq Hearings Panel to appeal its delisting. The date for meeting with the panel has been set for June 22, 2023.
TSP stock is down 10% as of Thursday morning.
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
