Current:Home > InvestTesla is planning to lay off 10% of its workers after dismal 1Q sales, multiple news outlets report -MacroWatch
Tesla is planning to lay off 10% of its workers after dismal 1Q sales, multiple news outlets report
View
Date:2025-04-18 21:34:10
DETROIT (AP) — After reporting dismal first-quarter sales, Tesla is planning to lay off about a tenth of its workforce as it tries to cut costs, multiple media outlets reported Monday.
CEO Elon Musk detailed the plans in a memo sent to employees. The layoffs could affect about 14,000 of the 140,473 workers employed by the Austin, Texas, company at the end of last year.
Musk’s memo said that as Tesla prepares for its next phase of growth, “it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” The New York Times and CNBC reported. News of the layoffs was first reported by electric vehicle website Electrek.
Shares of Tesla fell 3% at the opening bell Monday after the news broke. They have lost about one-third of their value so far this year.
Tesla sales fell sharply last quarter as competition increased worldwide, electric vehicle sales growth slowed, and price cuts failed to draw more buyers. The company said it delivered 386,810 vehicles from January through March, nearly 9% below the 423,000 it sold in the same quarter of last year.
veryGood! (9)
Related
- Justice Department, Louisville reach deal after probe prompted by Breonna Taylor killing
- What is Christian nationalism? Here's what Rob Reiner's new movie gets wrong.
- Prosecutors drop domestic violence charge against Boston Bruins’ Milan Lucic
- White House objected to Justice Department over Biden special counsel report before release
- Intellectuals vs. The Internet
- You could save the next Sweetpea: How to adopt from the Puppy Bowl star's rescue
- Oregon TV station apologizes after showing racist image during program highlighting good news
- Powerball winning numbers for Feb. 14 drawing: Jackpot rises over $300 million
- Sonya Massey's father decries possible release of former deputy charged with her death
- Legendary choreographer Fatima Robinson on moving through changes in dance
Ranking
- Apple iOS 18.2: What to know about top features, including Genmoji, AI updates
- 'Hot Ones' host Sean Evans spotted with porn star Melissa Stratton. The mockery crossed a line.
- These 56 Presidents’ Day Sales Are the Best We’ve Seen This Year From Anthropologie to Zappos
- Coach Outlet's AI-mazing Spring Campaign Features Lil Nas X, a Virtual Human and Unreal Deals
- Juan Soto praise of Mets' future a tough sight for Yankees, but World Series goal remains
- Gwen Stefani talks son Kingston's songwriting, relearning No Doubt songs
- 'Rustin' star Colman Domingo says the civil rights activist has been a 'North Star'
- Iowa’s abortion providers now have some guidance for the paused 6-week ban, if it is upheld
Recommendation
Whoopi Goldberg is delightfully vile as Miss Hannigan in ‘Annie’ stage return
Consumers sentiment edges higher as economic growth accelerates and inflation fades
From Cobain's top 50 to an ecosystem-changing gift, fall in love with these podcasts
New York State Restricts Investments in ExxonMobil, But Falls Short of Divestment
Meta donates $1 million to Trump’s inauguration fund
What does Tiger Woods need to do to make the cut at the Genesis Invitational?
Alexei Navalny, jailed opposition leader and Putin’s fiercest foe, has died, Russian officials say
Philadelphia traffic stop ends in gunfire; driver fatally wounded, officer injured