Tesla slashes global workforce more than 10% as it faces price war: ‘Difficult decision’
NY Post
Tesla chopped more than 10% of its global workforce — a move CEO Elon Musk called a “difficult decision” for the company as it grapples with falling sales amid an intensifying price war for electric vehicles.
The cuts, announced Monday in an internal memo sent to Tesla’s roughly 140,000 global employees, could reach closer to 20% in some divisions, two people familiar with the matter told Bloomberg.
“As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” Tesla chief Elon Musk wrote.
“As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally,” he added in the memo, which was first reported by tech publication Electrek.
Monday’s dismissals were effective immediately, according to a copy of the email sent to laid off employees seen by Reuters.
In response to comments on Musk-owned X, the mogul posted: “About every five years, we need to reorganize and streamline the company for the next phase of growth.”
