The WARN letter on Tuesday says 2,688 employees at the factory in Travis County are affected, and that "none of the employees are represented by a union."CEO of Tesla Motors Elon Musk speaks at the Tesla Giga Texas manufacturing "Cyber Rodeo" grand opening party on April 7, 2022 in Austin, Texas.is eliminating around 12% of its workforce at a factory in Austin, Texas, as part of a broader restructuring the company announced last week.
According to a Worker Adjustment and Retraining Notification Act letter on Tuesday, the layoffs affect 2,688 employees at the facility in Travis County. In 2021, Tesla CEOmore than 10% of its global headcount as the electric vehicle maker reckons with flagging sales and increased competition. He didn't say which departments or locations would be most impacted.
"As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity," he wrote. A subsequent WARN notice filed in New York indicated that 285 of positions were being eliminated at a factory inTesla officially opened its Texas EV and battery factory in April 2022, with a "cyber rodeo" party.
Tuesday's WARN filing said that "none of the employees are represented by a union and none of the employees have bumping rights," or the right of more senior workers to replace those with less seniority.