Bryan HayTesla is set to lay off 6,020 employees across Texas and California, Reuters reports, in an effort to manage declining demand and shrinking profit margins.
The electric vehicle giant is responding to a drop in sales and heightened competition within the sector.
This move follows a recent decrease in quarterly profits, the first since 2020, and comes after Tesla’s indication last week of a global workforce reduction of over 10%, although specific numbers were not disclosed at that time.
Tesla’s headcount stood at more than 140,000 late last year, up from around 100,000 at the end of 2021, according to the company’s filings with U.S. regulators.
