TESLA TO LAYOFF OVER 2600 WORKERS FROM TEXAS FACTORY

NEW DELHI: Tesla, the electric vehicle manufacturer, has announced its decision to reduce its workforce by 2,688 employees at its Texas-based factory.

The company disclosed this information through a Worker Adjustment and Retraining Notification (WARN) notice, according to a Reuters report.

The WARN Act, a federal labor law in the United States, mandates that companies with a workforce of 100 or more employees provide a 60-day notice prior to any planned closures or significant layoffs. Tesla's compliance with this law led to the issuance of the notice on Monday.

The decision to implement these layoffs comes amidst a challenging period for Tesla, as the company faces declining sales and an escalating price war in the electric vehicle market. In response to these pressures, Tesla recently announced an additional round of job cuts, affecting more than 10% of its global workforce, including 285 employees in Buffalo, New York.

According to the notice provided by Tesla, the layoffs at the Texas factory are scheduled to commence on June 14.