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Tesla’s Biggest Layoffs Mapped: Where Has EV Giant Cut Most Jobs? – Tesla (NASDAQ:TSLA)



Tesla, Inc. TSLA, is undergoing its biggest workforce reduction ever in a bid to combat slowing demand and falling margins. The company has decided to cut over 10% of its workforce or about 14,000 jobs. But where have the maximum slashings taken place? Benzinga examines using the data (as of April 2024) at hand. 

United States

According to WARN notices filed with the states of Texas and California, Tesla will eliminate 3,332 jobs in California and 2,688 positions in Texas, totaling over 6,000 positions, starting June 14. 

Region Number of Jobs Cut
California 3,332
Texas 2,688


Tesla’s Giga Berlin plant in Germany, which currently employs around 12,500 workers, was initially reported to be losing about 3,000 heads. Tesla, however, denied this and said it was planning to cut only around 400 jobs, representing approximately 3% of the factory’s workforce, according to a Reuters report. 

These layoffs come amidst a challenging sales market for electric cars in Europe, prompting Tesla to optimize production efficiency.

See Also: Everything You Need to Know About Tesla Stock


Chinese media reports suggest that more than 20% of Tesla’s workforce in the country could be affected by the layoffs, with some departments losing as much as half of their staff.

Tesla China is reportedly offering severance packages ranging from N+1 to N+3 (one month’s pay per year of service, plus additional months’ wages).

Giga Shanghai, according to media reports, employs roughly 20,000 workers. An estimated 20% reduction would imply 4,000 job losses, a lot less than in the United States. 

But when assuming that the known layoffs in other regions — totaling about 6,400 — are final, then Tesla’s cuts in China would go up to 7,600, the most in any region.

However, it is important to note that corporate layoffs usually happen in several stages over a company’s financial calendar year.

Overview of Tesla’s Global Workforce Reduction

Graphic by: Ramakrishnan M/Benzinga

Employee Count Back To 2022 Levels?

Why It Matters: Tesla’s layoffs reflect the broader challenges facing the company, including declining sales, pricing pressures, and the need to optimize production efficiency. 

CEO Elon Musk, however, managed to assuage some investor concerns after a dismal quarterly earnings showing by promising to roll out cheaper EV models even as he doubles down on his “blindingly obvious” robotaxi vision for the company.

Read Next: Tesla Investor Touts EV Giant’s Billions-Mile Leap In Gathering Self-Driving Data: ‘How Can Any Automaker Catch Up?’

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