Tesla Production Problem…..9% Workforce Sacked

On Tuesday, Tesla CEO Elon Musk took to Twitter to announce the Silicon Valley automaker is letting go 9% of its workforce. Musk noted that no production workers would be let go to ensure that Model 3 production would not be affected by the cuts. Instead, the cuts are coming mostly from the salaried workforce.

Tesla used to have 37,543 full-time employees. This cuts mean 3,379 employees are getting retrenched.

Musk tweeted screen shots of his company-wide email stating the reorganization that is underway is hard but necessary. In the company-wide email, Musk noted the move is necessary to reduce costs and become profitable. He even acknowledged the company has never turned a profit in its almost 15 years of existence.