Tesla plans to lay off about 2,700 workers at its Austin, Texas, factory in June, according to a Worker Adjustment and Retraining Notification (WARN) notice obtained by multiple media outlets.
The layoff notice for 2,688 employees requires employers with 100 or more employees to give 60 days’ notice before planned closures or mass layoffs to protect workers and their families, Reuters reported. The article was posted on Monday in accordance with the WARN Act, a US labor law.
According to Reuters, Tesla’s notice states that the layoffs will begin on June 14. The company is currently based in Austin.
The layoffs come ahead of the company’s earnings release scheduled for Tuesday, where it will report year-over-year sales for the first time since 2020 amid layoffs, recalls, price cuts and a potential $56 billion payroll dispute. A package to CEO Elon Musk, who is expected to announce a reduction in high.
Last week, the company recalled about 4,000 Cybertrucks due to a defective accelerator that would cause the vehicle to jam when pressed, increasing the risk of a collision. This applies to all trucks sold by Tesla since it was introduced to the market in November.
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Monday’s notice follows last week’s news of Tesla job cuts, in which Musk announced in a memo obtained by Electrek and CNBC that 10 of the company’s roles worldwide will be cut, including more than 200 employees in Buffalo, New York. It was announced that % would be reduced. Electrek said some employees affected by the layoffs have already had their access to the system locked.
How many people work at Tesla?
Tesla will have more than 127,000 employees in 2022, according to the company’s 2022 Impact Report. According to a report by CNBC, this number increased to 140,473 by December 2023.
Contributed by Jonathan Limehouse and James Powel, USA TODAY; Reuters
