Tesla Announces Steep Employee Cuts Amid Revenue Drop

Elon Musk’s Tesla announced Tuesday that it plans to lay off 6,020 employees in a massive round of cuts as the electric vehicle company weathers its biggest revenue drop in more than a decade.

The layoffs were revealed in federally required announcements about workforce reductions, known as WARN notices. According to the filings, Tesla plans to strike 2,688 jobs from its Austin, Texas, headquarters and 3,332 jobs in California.

The notices became public the same day Tesla held its quarterly earnings call with investors, revealing a 9% drop in first-quarter revenue year-over-year that marks its biggest decline since 2012. The call happened days after the company recalled thousands of its Cybertrucks over concerns accelerator pedal pads may dislodge and stick, potentially causing the $100,000 vehicles to crash.

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