American multinational automotive and clean energy company, Tesla has reportedly disengaged more than 10% of its workforce as it prepares for “the next phase growth cycle.”
At least 14,000 workers are expected to be affected by the worldwide layoffs which occur just weeks after the company revealed its first annual drop in car deliveries since 2020.
A company-wide internal email obtained by Electrek said 14,000 of the 140,473 workers that Tesla disclosed in its most recent annual report would be affected in the exercise.
“There is nothing I hate more, but it must be done,” said Elon Musk, in the email published by Electrek.
“This will enable us to be lean, innovative, and hungry for the next growth phase cycle.”
READ ALSO:Tesla settles out of court with family of Apple engineer who died in fatal Model X crash
This comes after reports emerged that Tesla had shelved plans to build a low-priced Model 2 estimated to cost about $25,000.
Instead, the company decided to concentrate on developing a new robotaxi.
In a related move, Tesla said it would no longer charge a subscription fee for its Full Self-Driving (FSD) driver-assist software citing ongoing financial difficulties at the company.
The company cut the price from $199 where it was since 2021 to $99 per month.
In a post on X, Tesla revealed the price change and referred to the Level 2 DAS as “FSD (Supervised)”—a nomenclature change intended to emphasize that drivers must be alert to traffic and be prepared to take over control of the vehicle.
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
