9% of Tesla personnel has to leave
American car manufacturer Tesla is having hard times. After the production problems with the Model 3 and pressure from shareholders, CEO Elon Musk announced that 9% of the employees will have to leave the company.
The passing years Tesla has grown super-fast. Today it has 37.500 employees on the payroll, a huge amount in relation to the numbers of cars produced. According to founder and CEO Elon Musk this expansion has created a lot of doubles, especially in supporting activities. These will have to go.
In a letter published via Twitter Elon Musk has announced the bad news. “Costs have to go down and the company has to be profitable as soon as possible”, Musk argues. In the letter the CEO repeats that the company in its 15 year of existence has never made any money yet, and that it will continue focusing on clean energy.”But we will never reach our goal if we are not sustainable and profitable”, he adds.
Musk repeats that this decision, to dismiss 3.600 people, is “difficult but necessary”. It is the realization of an earlier announced restructuring plan, but there were no hard figures given yet.
No influence on production
According to Tesla, the decision won’t have any influence on the production targets set for Model 3. After many difficulties and a lot of money spent, the cheaper Model 3 is meant to conquer a much larger slice of the electric car market and make Tesla finally profitable.