Tesla employed more than 22,000 people in Austin at the end of last year, according to Bloomberg. The Model Y and Cybertruck are produced at the manufacturing plant there. Layoffs there will begin on June 14.
In Germany, the company wants to avoid layoffs, so it plans a “volunteer program” for employees. For this purpose, she already started negotiations with the staff council. Last week, the company announced that it would not renew the contracts of 300 temporary workers in Grünheide.
140,000 people work for Elon Musk’s company worldwide. Tesla previously announced that it would reduce inventory by ten percent.
“I deeply regret the announced job cuts at Tesla in Grünheide. However, I am glad that it will be done sensibly,” said Brandenburg Minister of Economy Jörg Steinbach.
“The current weakening electric car market is also a challenge for Tesla,” the company said. “It is always in our interest to produce as efficiently as possible,” she added.
More than 12,000 people work in Tesla’s only European factory, where electric cars are produced from March 2022. The news of the German layoffs came ahead of the release of the company’s first-quarter financial results, which are expected after the close of trading on the U.S. stock market. Investors are bracing for the group’s lowest gross profit margin in more than six years, according to Reuters.
Tags: Tesla lays Part employees Berlin gigafactory home Austin leaving
