Tesla is laying off more than 10% of its employees worldwide. This means that at least 14 thousand people will lose their jobs. This was reported by Electrek.

Elon Musk sent a letter to his employees saying that over the past few years, the company has grown a lot and there are many repetitive positions.

According to him, in order to continue the company’s development, it is extremely important to consider every aspect to reduce costs and increase productivity.

“As part of this effort, we have done a thorough review of the organization and made the difficult decision to reduce our headcount by more than 10% globally. There is nothing I hate more, but it must be done. This will enable us to be lean, innovative and hungry for the next growth phase cycle. I would like to thank everyone who is departing Tesla for their hard work over the years. I’m deeply grateful for your many contributions to our mission and we wish you well in your future opportunities. It is very difficult to say goodbye,” the businessman wrote in a letter.

The company is taking such measures after weak quarterly results. Sales of Tesla electric cars in the first quarter of 2024 compared to the same period in 2023 decreased by 8.5% – from 422.9 thousand units to 386.810 thousand.

The result is lower than the average forecasts – analysts expected Tesla to sell 449,080 electric vehicles in the first three months of this year.