Tesla fires around 15,000 workers, more than 10% of the workforce

by times news cr

2024-04-16 19:13:00

Elon Musk visits Israel after controversy over anti-Semitism”>Tesla will lay off around 15,000 people, more than 10% of its workforce, according to an email sent to the entire company by executive president, Elon Musk, the website Electrek reported this Monday.

In the message sent to Tesla employees, Musk says that, in preparation for the “next phase of growth”, it is important that the electric car manufacturer seeks “cost reductions and increased productivity”.

“As part of this effort, we conducted a comprehensive review of the organization and made the difficult decision to reduce the workforce by more than 10% globally,” Musk added.

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The announcement comes just days after Tesla announced that its sales fell 8.5% in the first quarter of the year, a period in which the company’s shares lost almost 30% of their value.

The end of the period of rapid growth

Tesla will release its first quarter financial results on April 23.

In recent weeks, the company has also significantly lowered prices in North America to stimulate demand and reduce vehicle stock.

Industry analysts indicate that the period of rapid growth that characterized Tesla in recent years ended with increased competition from traditional manufacturers, difficulties in reducing costs and the strong increase in the production of electric vehicles by Chinese companies.

2024-04-16 19:13:00

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