Is Tesla Planning A Massive Layoff?

Tesla employees at Gigafactory Texas and Fremont factory are planning for possible large-scale layoffs that could happen anytime this week.

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Rumors are that up to 20% of the workforce could get affected from this layoff, which means tens of thousands of employees.

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These reports about layoff worries come as Tesla's been dealing with a pretty big sales slump, especially in the first quarter of the year.

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Plus, Increased competition in major markets like China from other EV producers is making it more tougher for Tesla.

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Tesla has faced issues with unsold inventory, adding approx. 46,000 vehicles to its inventory in a single quarter, indicating potential overproduction or declining demand.

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In response to that, Tesla has already shortened production shifts for the Cybertruck at Gigafactory Texas and reduced overall production at Gigafactory Shanghai.

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In fact, the financial pressure can be seen at Tesla, where the company has cut down prices in China to boost demand, but it provided only little sales.

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Also, There has been rumours that Tesla employees is dissatisfied due to delayed performance reviews and recent price increases by the company.

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Tesla is not alone implementing layoffs; Apple have also announced cutbacks, but Tesla’s potential layoffs appear more aggressive.

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Despite all that, Tesla is still focusing on launching new self-driving and AI technologies like RoboTaxi, which can be unveiled in Aug.

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