Tesla cuts 601 jobs in the Bay Area, a sign of other problems

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Tesla cuts 601 jobs in the Bay Area, a sign of other problems

In the fourth straight week of layoff announcements, Tesla said it is now focused on reducing staff at its Bay Area facilities as part of a broader initiative to cut jobs at global scale.

State filings show Tesla plans to lay off 378 employees at its Fremont facility and 223 at its Palo Alto offices.

The layoffs will be spread over a period of 14 days starting June 20.

An email to Tesla officials seeking comment was not immediately returned.

The layoffs come as the company struggles with report sales, senior leaders fleea decline stock price and quality issues with the new Cybertruck. The low-cost Model 2 recently promised by CEO Elon Musk seems to be dead.

It is not immediately clear which positions will be eliminated. The Chronicle of San Francisco said they would include technicians, electricians, software engineers, plumbers and athletic trainers.

On April 15, Musk announced in a statement email to staff that Tesla was cutting more than 10% of its workforce, citing job overlap and the need to cut costs.

A week later, Telsa announced it was laying off 3,332 workers at its facilities and offices in Fremont, Palo Alto, Burbank and Lathrop.

Including the latest cuts, Telsa announced 3,933 layoffs this year in California.

“As we prepare the company for our next phase of growth, it is extremely important to examine all aspects of the business to reduce costs and increase productivity,” Musk wrote in the email. april.

“As part of this effort, we conducted a thorough review of the organization and made the difficult decision to reduce our workforce by more than 10% globally,” he continued. “There’s nothing I hate more, but it has to be done.”

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