It's been a rough week for Tesla. As word spread last week that the company would lay off 10% of employees globally, the company's stock dipped by 3%. That came after Tesla CEO Elon Musk told employees in an internal memo that cost reductions made the layoffs necessary. Initially, it was unclear how many Bay Area jobs could be affected by the layoffs, but a WARN notice filed by Tesla on Tuesday revealed that 2,753 jobs would be lost.
Tesla has more than 140,000 employees, so roughly 14,000 jobs, or about 10%, are expected to be slashed. It's the latest evidence of the challenges now facing the electric vehicle maker. The news comes as Tesla has seen a drop in deliveries and demand in the first quarter of 2024. The company's website also revealed that Tesla is slashing the price of its self-driving system by 30% . The tech giant has also lowered prices of three of its five models across the United States by $2,000.