---
title: "Tesla lays off more employees in software, service teams"  
description: "Learn about the Tesla lays off more employees in software, service teams in this news post"  
author: "HARIDHA P"  
published: 2024-05-08  
updated: 2024-05-08  
canonical: https://www.mindstick.com/news/3896/tesla-lays-off-more-employees-in-software-service-teams  
category: "news"  
tags: ["news"]  
reading_time: 2 minutes  

---

# Tesla lays off more employees in software, service teams

Tech website Electrek said, citing people familiar with the situation, that [electric car](https://answers.mindstick.com/qa/51782/what-is-the-name-of-mahindra-s-first-electric-car) manufacturer Tesla had laid off workers from the software, service, and [engineering](https://www.mindstick.com/blog/12520/earning-a-internal-engineering-graduate-rank-online) divisions. The action was taken after [Tesla](https://www.mindstick.com/news/3875/elon-musk-says-tesla-could-start-selling-optimus-robots-by-the-end-of-next-year) said last month that it was cutting more than 10% of its global employees, leading Elon Musk's carmaker to dissolve its [EV charging](https://yourviews.mindstick.com/view/85196/the-state-of-ev-charging-stations-and-how-to-locate-them) division.

## Highlights:

- Tesla laid off workers from software, service, and engineering divisions.
- The move follows a global reduction in staff exceeding 10% announced last month.
- Tesla aims to control costs amidst market challenges, focusing on key priorities like [humanoid robots](https://yourviews.mindstick.com/view/87462/humanoid-robots-will-replace-workers-in-the-coming-future) and autonomous driving software.

![Tesla lays off more employees in software, service teams](https://lh7-us.googleusercontent.com/s2il7J0UmgjNEcJzyUCDmr4sHVwdQxzNx9QEGtpO6e9XZgFTyRz7Xrd9QzmjtmITcUO5G8BHOhB9gtJOx9gxO-bkdM1jag6o5S-b2J3XuXwCCsiWwEH8wR94TJs6QOrTYA9dWNyEkCuxU9LrTZS5Gng)

As part of larger [layoffs](https://www.mindstick.com/news/3886/tech-layoffs-2024-over-20k-sacked-in-april-tesla-apple-byju-s), automotive employees got emails over the weekend, according to the Electrek article.

A Reuters request for comment was not immediately answered by Tesla, whose shares were up more than 1%.

Last month, the corporation announced that it will be laying off around 6,700 workers across its facilities in Texas, California, Nevada, and New York.

The adoption of [electric vehicles](https://yourviews.mindstick.com/story/3601/xiaomi-unveiled-first-electric-vehicles) has been hampered by high borrowing rates, which has put pressure on manufacturers to reduce pricing. Tesla has been dealing with these issues.

Experts speculate that Musk could be cutting back on some teams to free up funds for the company's top objectives, which include his [humanoid robot](https://www.mindstick.com/news/4551/amazon-set-to-test-humanoid-robots-for-deliveries-report) Optimus, robotaxis, and [autonomous vehicle](https://answers.mindstick.com/qa/114490/what-are-the-latest-developments-in-autonomous-vehicle-technologies) software.

Last month, Tesla announced that it expected to spend over $350 million in the second quarter on the extensive layoffs. The firm lost top executives due to layoffs, including Daniel Ho, Rebecca Tinucci, Rohan Patel, and Drew Baglino.

The firm said in April that it was developing "new models" that would make use of its present [manufacturing](https://www.mindstick.com/articles/167329/improving-productivity-within-the-manufacturing-industry) lines and platforms; this approach is anticipated to enable it to better control capital expenditures.

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Original Source: https://www.mindstick.com/news/3896/tesla-lays-off-more-employees-in-software-service-teams

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