Tesla CEO Elon Musk said the electric car maker will cut 10% of its workforce in three months as the world’s richest man predicts a U.S. recession is more likely.

His remarks were his most detailed explanation of the layoff plan and his first in person since Reuters reported earlier this month that the company needed to cut about 10% of its workforce and suspend global hiring.

Speaking at the Qatar Economic Forum by Bloomberg, Musk said the layoffs would apply only to salaried workers, which would represent a 3.5% reduction in the overall headcount, describing the changes as “not super material.”

But he expressed concern about the prospect of a U.S. recession. “It’s not certain, but it seems more likely,” he said.

Musk’s outlook echoes comments from executives including JPMorgan Chase CEO Jamie Dimon and Goldman Sachs President John Waldron. “There’s a hurricane right in front of us,” Dimon said earlier this month.

Whether the U.S. is headed for a recession has been a growing concern for chief executives, the Fed and the Biden administration.

U.S. President Joe Biden reiterated on Monday that he does not believe a U.S. recession is inevitable, even as the world’s largest economy grapples with soaring gasoline prices and inflation, which is at its highest level in 40 years.

Former U.S. Treasury Secretary Lawrence Summers told NBC News on Sunday that he expects a recession.

In a June 2 email seen by Reuters, Musk told Tesla executives that he had a “super bad feeling” about the economy and that the company needed to cut about 10% of its workforce and “pause all” ​All recruitment in the world”.

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Tesla expects to the number of workers paid by the hour rather than fixed wages, he said on Tuesday.

He also stated that he is sticking with the digital currency and intends to support Dogecoin himself.

The digital currency has been extremely volatile this year, but surged after Tesla in February last year that it had purchased $1.5 billion (nearly 117 billion rupees) in bitcoin and accepted it as payment for vehicles for a short period of time.

Twitter deal doesn’t address ‘very important issues’

Elon Musk also talked about his proposal to buy Twitter, which Forbes magazine reported earlier this month had agreed to buy Twitter for $44 billion (approximately Rs 343,500 crore).

Musk said there were unresolved issues, including the debt portion of the deal and the number of spam users.

“We’re still waiting for a resolution on this issue, which is a very important one,” he said, reiterating skepticism about Twitter’s claim that fake or spam accounts account for less than 5 percent of its monetizable daily active users .

“And of course, the question is, will the debt portion of this round be consolidated? Will shareholders then vote in favor?”

Musk said he wants to get 80% of North America and half of the world on Twitter.

“My expectation for Twitter is to be as inclusive as possible,” he said.

The most important thing, he said, is to keep the company moving in the right direction, as at his private rocket company SpaceX and Tesla. “Whether I’m the CEO is far less important than my ability to move the in the right direction,” he said.

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