Western media have reported US electric vehicle manufacturer Tesla plans to lay off more than 10 percent of its global workforce amid falling sales.
The media said on Monday that Tesla’s CEO Elon Musk informed employees of the plan in a memo sent to them.
The Wall Street Journal said that Musk cited the need to reduce costs and increase productivity.
He said, “We have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10 percent globally.”
He added, “There is nothing I hate more, but it must be done.”
Tesla had more than 140,000 employees as of the end of 2023. Under the plan, the company is expected to cut more than 14,000 jobs.
The decision comes after Tesla’s quarterly new car sales fell during the January-March period for the first time in about four years.
The company is facing competition from Chinese electric vehicle companies and declining demand for EVs.
