‘Tesla is going to make significant cuts in its workforce’

Demand drops

‘Tesla is going to make significant cuts in its workforce’

Although the Tesla Model Y was the best-selling car in the world last year, in a broader sense things are looking a little less impressive at Tesla in relative terms. It would now even lead to a significant reduction in the employee base.

Tesla is seeing demand for its cars decline somewhat and may lay off a large part of its staff. The generally well-established Electrek reports that rumors are circulating in the workplace of the electric car manufacturer about a major reorganization that would result in the loss of up to 20 percent of jobs. That would amount to tens of thousands of layoffs. In the United States, Tesla has… Electrek certain services have already been curtailed. Furthermore, it recently announced that it will reduce production slightly at its Gigafactory in Shanghai, China.

Tesla, which had more than 140,000 employees worldwide last year, has had its worst quarter in years. In the first quarter of this year, the company delivered fewer than 387,000 cars to customers, significantly less than in the same period a year earlier. Tesla is struggling with weaker demand for electric cars around the world and fierce competition from other car manufacturers, especially from China.

Update: Bloomberg news agency now reports that Tesla CEO Elon Musk has announced in an email to employees that 10 percent of jobs will disappear worldwide.

– Thanks for information from Autoweek.nl

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