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Tesla cuts its workforce by 7%



Chief Executive Officer Elon Musk told workers about Friday redundancies in a letter Tesla published online. The company will keep only the most critical rates and performers, Musk said. "The letter should state that Tesla is" against massive, fortified competitors "and has to work much harder than other manufacturers to survive while building affordable, sustainable" For those who leave, thank you for everything you've done to advance our mission, "he said," I am deeply grateful for your contribution to Tesla. "

The redundancies follow a surprise gain for Tesla in the third quarter, driven by solid sales of model 3. But Musk said on Friday that the untested results show that Tesla will p generating less profit in the fourth quarter

"This quarter as well as Q3, delivering more expensive model 3 variations (this time in Europe and Asia) will allow us, with great difficulty, effort and luck, Tusla shares (TSLA) fell 8% in pre-market trade, Musk said the cuts are needed because Tesla has to produce cheaper model 3 variants.

The cheapest version of the most affordable model maker is currently sold for $ 44,000. The goal is this year to reduce the price to 35,000 dollars.

"The road ahead is very difficult," Musk wrote in his letter. "This is not new to us ̵

1; we have always faced significant challenges – but that is the reality we are facing."

Tesla burns money while trying to increase the production of Model 3. In June 2018, the car maker released 9% of his staff.


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