Tesla layoffs impacted nearly 12% of its Texas staff
SUZANNE CORDEIRO/Getty Images
- Tesla has laid off 2,688 workers at its Austin factory, nearly 12% of the site's staff.
- This is likely part of larger workforce cuts across Tesla that Elon Musk announced last week.
- The layoffs have also impacted workers at Tesla's other US and international locations.
Elon Musk's focus on Texas didn't stop him cutting jobs in the Lone Star State.
Tesla laid off 2,688 workers at its Austin factory, according to a regulatory filing under the Worker Adjustment and Retraining Notification Act. The WARN Act requires most companies with more than 100 employees to provide 60 days of notice before a large-scale layoff.
The Texas site employed about 22,777 people before the layoffs — meaning Tesla cut nearly 12% of its staff at the site.
The permanent reductions will begin on "the 14-day period beginning on June 14, 2024," according to the notice, and are likely part of larger layoffs across Tesla. On Sunday night, CEO Elon Musk told staff the company was cutting more than 10% of its workforce. Within hours, laid-off workers were notified their employment had been terminated, effective immediately.
Tesla's Austin Gigafactory is the production hub for the company's Model Y and Cybertruck. The site also serves as the company's headquarters. Tesla is attempting to move the company's state of incorporation to Texas as well.
The broader layoffs appear to have affected workers across the country, as well as some staff at Tesla's international offices. Last week, a WARN notice revealed the cuts had impacted 280 workers at a Tesla facility in Buffalo, New York. At this point, it's unclear how many workers have been cut at factories in California and Nevada.
A Tesla spokesperson did not immediately respond to a request for comment from Business Insider.
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