After only a month on the job, Tesla’s Chief Accounting Officer, Dave Morton, resigned on Friday, September 7th. Morton explained his exit was due to the level of public attention on the company, along with the extremely fast paced work environment. Morton is the latest executive to leave the company, however, Tesla has seen 50 executives leave the company in the past 2 years. Yet, Musk is convinced that this executive turnover is up to par with other large companies. Furthermore, Musk announced plans for a reorganization of the company aimed at flattening the layers of management.
Musk is also continuing to make headlines. Last month, Musk shocked the world when he tweeted about the possibility of taking Tesla private for $420 a share. In addition, on September 7th, Musk joined Joe Rogan’s podcast where he can be seen smoking a joint of marijuana with Rogan. It is acts like these that cause investors and others to question Musk’s tactics and leadership.
It will be difficult for Musk to fill the Chief Accounting role, as accounting and finance professionals are typically very conservative and would not want to be linked with a company such as Tesla, considering their current state and the publics opinion of the company.
The recent controversies surrounding Tesla caused the company’s stock and bond prices to fall significantly. This is a cause for concern, as the company is already riddled with debt and could face long-term liquidity problems should these trends continue.