Tesla is currently facing a class-action lawsuit from its former employees. Tesla fired over 500 employees from its Nevada Gigafactory in June. The former employees soon sued the company, alleging that they were not given the prerequisite 60-day notice as per the WARN act. Raj Rajkumar, a professor at Carnegie Mellon University, told NDTV that Tesla has had a difficult second quarter this year and that COVID-related shutdowns in Shanghai have led to supply chain problems and raw material shortages. Rivian Automotive, an electric truck company, has also hinted at possible layoffs. The company's CEO RJ Scaringe said in a company-wide email that Rivian is "not immune to the current economic circumstances" and that the company needs to prioritise certain programmes over others in order to grow sustainably. (With inputs from Reuters, Bloomberg and NDTV)