As Tesla layoffs continue, here are 600 jobs the company cut in California

As
part
of


Tesla’s
massive
restructuring,
the
electric-vehicle
maker
notified
the
California
Employment
Development
Department
this
week
that
it’s
cutting
approximately
600
more
employees
at
its
manufacturing
facilities
and
engineering
offices
between
Fremont
and
Palo
Alto.

The
latest
round
of
layoffs
eliminated
roles
across
the
board
—
from
entry-level
positions
to
directors
—
and
hit
an
array
of
departments,
impacting
factory
workers,
software
developers
and
robotics
engineers.

The
cuts
were
reported
in
a
Worker
Adjustment
and
Retraining
Notification,
or
WARN,
Act
filing
that
CNBC
obtained
through
a
public
records
request.

Facing
both
weakening
demand
for
Tesla
electric
vehicles
and
increased
competition,
the
company
has
been
slashing
its
headcount
since
at
least
January.
CEO

Elon
Musk
told
employees
in
a
memo
in
April
that
the
company
would
cut
more
than
10%
of
its
global
workforce,
which
totaled
140,473
employees
at
the
end
of
2023.

Previous
filings
revealed
that
Tesla
would
cut
more
than
6,300
jobs
across
California;

Austin,
Texas;
and

Buffalo,
New
York.

Musk
said
on
Tesla’s
quarterly

earnings
call
on
April
23
that
the
company
had
built
up
a
25%
to
30%
“inefficiency”
over
the
past
several
years,
implying
the
layoffs
underway
could
impact
tens
of
thousands
more
employees
than
the
10%
number
would
suggest.

According
to
the
WARN
filing,
the
378
job
cuts
in
Fremont,
home
to
Tesla’s
first
U.S.
manufacturing
plant,
included
people
involved
in
staffing
and
running
vehicle
assembly.
There
were
65
cuts
at
the
company’s
Kato
Rd.
battery
development
center.

Tesla
didn’t
respond
to
a
request
for
comment.

Among
the
highest-level
roles
eliminated
in
Fremont
were
two
environmental
health
and
safety
directors,
and
a
user
experience
design
director.

In
Palo
Alto,
home
to
the
company’s
engineering
headquarters,
233
more
employees,
including
two
directors
of
technical
programs,
lost
their
jobs.

Tesla
has
also
terminated
a
majority
of
employees
involved
in
designing
and
improving
apps
made
for
customers
and
employees,
according
to
two
former
employees
directly
familiar
with
the
matter.
The
WARN
filing
shows
that
to
be
the
case,
with
many
cut
from
the
team
at
Tesla’s
Hanover
Street
location
in
Palo
Alto.

Tesla
faces
reduced
demand
for
cars
it
makes
in
Fremont,
including
its
older
Model
S
and
X
vehicles
and
Model
3
sedan.
Total
deliveries
dropped
in
the
first
quarter
from
a
year
earlier,
and
Tesla
reported
its
steepest
year-over-year
revenue
decline
since
2012.

An
onslaught
of
competition,
especially
in
China,
has
continued
to
pressure
Tesla’s
sales
in
the
second
quarter.
Xiaomi
and
Nio
have
each
launched
new
EV
models,
which
undercut
the
price
of
Tesla’s
most
popular
vehicles.

Tesla’s
stock
price
has
tumbled
about
30%
so
far
this
year,
while
the
S&P
500
is
up
11%.

Musk
has
been
trying
to

convince
investors
not
to
focus
on
vehicle
sales
and
instead
to
back
Tesla’s
potential
to
finally
deliver
self-driving
software,
a
robotaxi,
and
a
“sentient”
humanoid
robot.
Musk
and
Tesla
have
long
promised
customers
self-driving
software
that
would
turn
their
existing
EVs
into
robotaxis,
but
the
company’s
systems
still
require
constant
human
supervision.

Other

recent
job
cuts
at
Tesla
included
the
team
responsible
for
building
out
the
Supercharger,
or
electric-vehicle
fast-charging
network,
in
the
U.S.

Tesla
disclosed
plans
in
its
annual

filing
for
2023
to
grow
and
optimize
its
charging
infrastructure
“to
ensure
cost
effectiveness
and
customer
satisfaction.”
Tesla
said
in
the
filing
that
it
needed
to
expand
its
“network
in
order
to
ensure
adequate
availability
to
meet
customer
demands,”
after
other
auto
companies
announced
plans
to
adopt
the
North
American
Charging
Standard.

Since
cutting
most
of
its
Supercharger
team,
Tesla
has

reportedly
started
to
rehire
at
least
some
members,
a
move
reminiscent
of
the
job
cuts
Musk
made
at
Twitter
after
he
bought
the
company
and
later
rebranded
it
as
X.
Musk
told
CNBC’s
David
Faber
last
year
that
he
wanted
to

rehire
some
of
those
he
let
go.

Read
the
latest

WARN
filing

in
California
here: