1. Musk’s Efforts Boost Tesla’s Stock
After Elon Musk settled with the Securities and Exchange Commission (SEC) for $20M this weekend regarding his “funding secured” tweet and leaked memo to employees concerning profitability, Tesla’s stock improved by 15%. This means that Tesla has shielded all of its losses from the prior week and Musk is here to stay as CEO, although he must resign as chairman and pay the $20M fine. The only question that remains is how well Tesla will perform in their third-quarter vehicle production and delivery numbers and what the financial results will look like for Tesla’s Model 3 sedan. Musk couldn’t help himself from taunting the SEC by sending this Naughty by Nature tweet.
2. MBA Applications Decrease by 7%
According to a recent study by the Graduate Management Admission Council, the trend of business degrees becoming obsolete is continuing. Business school applications have fallen by another 7% this year. The new generation of students prefer more specialized, less time-consuming degrees. The increasing number of international students who are having difficulty acquiring work visas has also played a role in the decline as international students have submitted 11% fewer applications this year. More significantly, top business schools like Harvard and Wharton School of Business have become affected by this decline for the first time in history. Harvard applications are down 4.5% and Wharton’s 6.7% from last year.
3. Amazon Raises Minimum Wage
After serious criticism over its wages and treatment to warehouse workers, Amazon announced an increase in their US minimum wage: $15/hour. “We listened to our critics, thought hard about what we wanted to do, and decided we want to lead,” says Amazon founder and CEO, Jeff Bezos. The median salary of an Amazon employee is currently $28,446, which is significantly lower than that of other top tech competitors. Bezos (worth $100B) is taking necessary steps to rectify this. The new minimum wage will be effective on Nov. 1 and will benefit more than 250K full-time and part-time employees and over 100K seasonal and temporary employees. Amazon will also raise the minimum wage in the UK, along with advocating for a higher US federal minimum wage.