BUSINESS

Tesla Cuts 6,000 Jobs in Texas and California and Fires US “Growth Team”: Report

As part of massive corporate layoffs, Tesla recently reduced the size of a newly established marketing team, departing from a traditional advertising approach that CEO Elon Musk had supported less than a year before.

According to Bloomberg, which cited sources familiar with the case, the entire “growth content” team in the US—which consisted of around 40 employees under the management of senior manager Alex Ingram—was disbanded amid the continuous wave of job cuts.

Jorge Milburn, the leader of the worldwide team, and Ingram were both fired. One report claims that the business still employs a small number of marketers across Europe.

More than 6,000 Tesla jobs will be lost in Texas and California.

Tesla said that it would fire 6,020 workers in California and Texas, according to Reuters.

Under pressure from declining sales and a growing pricing war among EV producers, Tesla said last week that it will be cutting more than 10% of its worldwide staff. The company did not disclose the number of workers affected by the job layoffs.

A U.S. labor law requiring businesses with 100 or more workers to inform 60 days in advance of planned closures or mass layoffs revealed some figures in letters to the states of Texas and California on Monday.

Beginning on June 14, Tesla plans to reduce 3,332 jobs in California and 2,688 roles in Texas, according to the notifications.

“Over 30,000 manufacturing jobs have now been created in California by Tesla!” Musk said on Tuesday in a post on his social media network, X.

12% of Tesla’s 22,777 employees in the greater Austin area—where its gigafactory and headquarters are located—work in Texas.

285 workers at the company’s Buffalo, New York, headquarters, which houses the labeling team for its Autopilot driving assistance program, which produces fast-charging equipment, will be let go as part of the worldwide employment reduction.

Based on the company’s filings with U.S. authorities, Tesla’s workforce increased to over 140,000 at the end of last year from over 100,000 at the end of 2021.

In an exclusive story published on April 5, Reuters revealed that Tesla has shelved a long-promised low-cost vehicle that was anticipated to retail for around $25,000 and that investors had been banking on to propel mass-market expansion.

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