14,000 employees may lose jobs in Tesla, company's senior vice president resigns

Electric vehicle manufacturer Tesla, owned by Elon Musk, is planning to lay off employees. The company is working on plans to lay off more than 10% of its global workforce, citing duplication of roles. If this decision is implemented then 14,000 people may lose their jobs.

In an internal email seen by electrick.com, CEO Musk said the rapid growth has led to duplication of roles at the company and cost reduction is necessary for the "next phase of growth." Musk wrote, "As we prepare the company for its next phase of growth, it is extremely important to look at every aspect of the company to increase productivity, including cutting costs. As part of this effort, we conducted a thorough review of the organization." "And have made the difficult decision to reduce our workforce globally by more than 10%. It's not something I'm too fond of, but it needs to be done."

This announcement from Tesla comes days after it reported a decline in auto-deliveries. The company has announced a reduction in the prices of its EVs to increase demand. Tesla chief Elon Musk is also scheduled to meet Prime Minister Narendra Modi during his visit to India this month. It is expected that during this time he will announce the opening of a new Tesla plant in India. He had posted on his X profile, "Looking forward to meeting with Prime Minister Narendra Modi in India!".

Amid the automaker's largest round of employment cuts, Tesla Senior Vice President Drew Baglino has resigned. The corporation revealed plans to cut more than 10% of its global workforce during the downturn in the market for electric vehicles. Layoffs in some divisions could be as high as 20% as a result.

Four named executive officers have been appointed at Tesla, including Drew Baglino. Bloomberg stated that he was in charge of the business' engineering and technology development division for energy, motors, and batteries. He has worked for 18 years, and last year, at Tesla's investor day, he appeared on stage alongside Elon Musk at some events.