The Elon Musk-founded and run electric vehicle manufacturer has not yet responded to an Electrek story from earlier on Monday indicating that it was planning to lay off roughly 15,000 employees.
“As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity,” Musk reportedly wrote in an email to coworkers, according to Reuters.
“As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally.”
The corporation has been having trouble with weak demand for its electric vehicles. As of the end of 2023, it employed over 140,000 people.
The impact of rising interest rates throughout most of the western world and the strain the cost of living issue has placed on budgets have been obstacles.
It has repeatedly lowered prices in an attempt to attract customers, but fierce competition—primarily from China—has impeded its progress.
