Tesla, the electric vehicle giant led by Elon Musk, has come under fire for reportedly hiring foreign workers with H-1B visas to replace laid-off American employees. The move, which follows a wave of layoffs earlier this year, has sparked a fierce backlash, particularly among supporters of President-elect Donald Trump’s MAGA movement.
According to Electrek, Tesla significantly increased its use of H-1B visas after laying off approximately 14% of its 120,000 workers in 2024. This equates to nearly 17,000 employees losing their jobs, many of whom have now reportedly been replaced by foreign workers.
Current and former Tesla employees confirmed the shift, describing a sharp uptick in the hiring of visa holders. Critics argue that this undermines American workers, particularly in a competitive job market.
Elon Musk’s Defense of H-1B Visas
Elon Musk, Tesla’s CEO and a co-chair of the Department of Government Efficiency (DOGE) under the Trump administration, has vocally supported the H-1B visa program. Musk himself entered the United States on a student visa and has credited the H-1B program for fostering innovation in the country.
Last week, Musk defended the program on social media platform X, stating:
“The reason I’m in America along with so many critical people who built SpaceX, Tesla, and hundreds of other companies that made America strong is because of H-1B. Take a big step back and F— YOURSELF in the face. I will go to war on this issue the likes of which you cannot possibly comprehend.”
Musk’s unapologetic stance has sparked outrage among critics, particularly those within Trump’s MAGA movement, who accuse him of prioritizing foreign labor over American workers.
The MAGA Movement’s Backlash
The decision to increase reliance on H-1B visas has ignited anger among Trump supporters, many of whom view the program as a threat to American jobs. The controversy intensified after Musk and his DOGE co-chair Vivek Ramaswamy publicly advocated for expanding the H-1B visa program, suggesting that U.S. workers lacked the skills needed for certain roles.
This has led to heated debates, with MAGA supporters accusing Musk of betraying American workers. Some have even questioned his past immigration status, pointing out that Musk’s brother admitted they were in the country illegally during the launch of their startup, Zip2.
The H-1B visa program allows U.S. companies to employ foreign workers in specialized fields such as technology, engineering, and science. While supporters argue that the program helps fill critical skill gaps, opponents claim it displaces American workers and suppresses wages.
Tesla’s reliance on H-1B visas following mass layoffs has reignited these debates. Critics argue that visa holders are often paid less than their American counterparts and are tied to their employers, making them more vulnerable to exploitation.
Tesla’s decision to ramp up H-1B hiring raises questions about the company’s workforce strategy. While the company has faced challenges in maintaining a stable workforce, its use of foreign labor has drawn scrutiny from labor advocates and policymakers.
The layoffs earlier this year reportedly targeted positions across multiple departments, including engineering and production. Some former employees allege that Tesla’s hiring practices prioritize cost savings over employee retention.
The controversy surrounding Tesla’s hiring practices has broader political implications. As the U.S. prepares for President-elect Trump’s inauguration, the MAGA movement’s response highlights tensions within the Republican Party over immigration and labor policies.
Trump’s base has traditionally opposed programs like H-1B, viewing them as detrimental to American workers. The backlash against Musk and Ramaswamy suggests a growing rift between pro-business conservatives and those advocating for stricter immigration controls.
Elon Musk’s outspoken support for H-1B visas reflects his broader stance on immigration as a driver of innovation. Musk has frequently credited immigrant entrepreneurs with shaping the tech industry, arguing that restrictive immigration policies hinder economic growth.
However, his stance has also made him a polarizing figure, particularly among those who believe companies like Tesla should prioritize American workers.
Tesla’s reliance on H-1B visas highlights the challenges of balancing workforce demands with public perception. As the company continues to navigate its labor strategy, it will likely face increased scrutiny from policymakers and labor advocates.
Meanwhile, the broader debate over H-1B visas underscores the complexities of immigration and labor policy in a globalized economy. Finding a solution that addresses both the needs of businesses and the concerns of American workers remains a key challenge for lawmakers and industry leaders alike.
Tesla’s decision to replace laid-off U.S. workers with H-1B visa holders has reignited debates over immigration, labor policy, and corporate responsibility. While Elon Musk defends the move as a necessary step to maintain innovation, critics argue it undermines American workers and exacerbates economic inequalities.
As the controversy unfolds, it serves as a reminder of the tensions between globalization and national interests, raising important questions about the future of work in an increasingly interconnected world.
