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Tesla Cutting Nearly 10 Percent of Workforce

Tesla is cutting about 9 percent of its workforce, mostly among its salaried staff, CNBC reported today.

Tesla is trying to boost Model 3 production to get to 5,000 cars per week by the end of the month after struggling to meet production goals. The company currently employs about 46,000 workers. Its plant is in Fremont, Calif.

CNBC cited an email company founder Elon Musk sent to employees that said the cuts were needed because in the company’s rapid growth it had created jobs that in some cases were duplicative and were “difficult to justify today.”

“As part of this effort, and the need to reduce costs and become profitable, we have made the difficult decision to let go of approximately 9% of our colleagues across the company,” Musk wrote, according to the CNBC report. “These cuts were almost entirely made from our salaried population and no production associates were included, so this will not affect our ability to reach Model 3 production targets in the coming months.”

Tesla also said it was ending a partnership in which it would sell Tesla solar panels at Home Depot stores.

 

About David Royse

David Royse is the Editor-in-Chief of Ledetree.com. He has been a professional journalist for more than 20 years, including stints with The Associated Press and The News Service of Florida. He enjoys writing about health and medical science, and hopeful stories about scientific breakthroughs and new technology.

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