Apr 24, 2024 10:43:00

Tesla announces it will lay off about 6,000 employees in Austin, Texas, where its headquarters are located, and in California.

On April 22, 2024, automaker Tesla announced to Texas state authorities that it would lay off 2,688 employees working at its Austin, Texas, factory within 14 days, beginning June 14, 2024, pursuant to

the federal Worker Adjustment and Retraining Notification Act (WARN Act).

Tesla to cut more than 6,000 jobs in Texas, California, notices show | Reuters
https://www.reuters.com/business/autos-transportation/tesla-lay-off-nearly-2700-employees-texas-factory-notice-shows-2024-04-23/

Tesla cutting close to 2,700 jobs in Austin, over 3,300 in California

https://www.cnbc.com/2024/04/23/tesla-cutting-close-to-2700-jobs-in-austin-as-part-of-restructuring.html

Tesla to lay off 2,688 employees at its Austin facility
https://www.mysanantonio.com/business/article/tesla-texas-layoffs-19418016.php

In a letter sent to the Texas Workforce Commission and Austin Mayor Kirk Watson, Tesla said it would lay off 2,688 employees at its Gigafactory in Austin, Texas, where the company is headquartered.

The layoffs will take place within 14 days from June 14, 2024, and those affected are employees who are not members of a labor union and do not have 'bumping rights ,' which is the right of lower-ranking workers not to be replaced by higher-ranking workers.

Tesla has also notified California state authorities, and will lay off 3,332 employees in the state starting June 14, 2024. The breakdown is 2,266 employees working at the Fremont vehicle assembly plant, 486 in

Palo Alto , where Tesla's engineering headquarters is located, and 580 others. The layoffs will affect employees at factories, engineering offices, auto dealerships, showrooms, and service centers in California.

The company also announced that it would lay off 285 employees at its Buffalo, New York facility, which houses the Supercharger and Autopilot development teams.

In the United States, the WARN Act requires companies with 100 or more employees to notify local authorities 60 days in advance when they close offices or carry out mass layoffs. The notices of employee layoffs in Texas, California, and New York are also based on this WARN Act.

Tesla, under pressure from declining sales and intensifying price competition among electric vehicle manufacturers, had announced plans to cut about 10% of its global workforce, or a total of about 14,000 employees. The latest employee cuts in Texas and elsewhere are believed to be related to this plan.

Tesla lays off 10% of its employees due to staff cuts, some point out that it has lost talented people - GIGAZINE

'As we prepare the company for its next phase of growth, it's critical that we look at every aspect of the company to reduce costs and improve productivity,' CEO Elon Musk said when announcing the plan to cut staff.