Tesla Layoffs 14,000 Staff Globally  Amidst Growth Preparations

American multinational automotive and clean energy company, Tesla, has reportedly initiated a reduction in its workforce, affecting over 10% of its employees, as part of its preparations for "the next phase growth cycle." 

The layoffs, expected to impact at least 14,000 workers globally, come just weeks after the company disclosed its first annual drop in car deliveries since 2020. 

According to a company-wide internal email obtained by Electrek, 14,000 of the 140,473 workers disclosed in Tesla's most recent annual report will be affected by the layoffs. 

In the email published by Electrek, Elon Musk expressed his reluctance, stating, "There is nothing I hate more, but it must be done." 

He emphasized that the move aims to make the company "lean, innovative, and hungry for the next growth phase cycle." 

These workforce adjustments follow reports that Tesla has scrapped plans for a low-priced Model 2, estimated to cost around $25,000. Instead, the company has opted to prioritize the development of a new robotaxi.