Tesla laid off “several dozen” sales employees on April 4.
The cuts impacted employees in Chicago; Brooklyn, New York; and Tampa, Florida.
- A Tesla representative confirmed the layoffs to Business Insider and said the affected stores remain open.
- Tesla announced a shift in its retail strategy in February the company said would lead to layoffs.
Tesla laid off “several dozen” sales employees on April 4, Bloomberg’s Dana Hull first reported. The cuts impacted employees in Chicago; Brooklyn, New York; and Tampa, Florida.
A Tesla representative confirmed the layoffs to Business Insider and said the affected stores remain open.
Read more: The biggest question for Tesla is whether the company can make steady profits on its cars
The electric car-maker said in February that it would close many of its stores and convert the remaining stores into galleries and information centers as it shifts to an online-only sales model. The move would lead to layoffs, Tesla CEO Elon Musk said during a conference call that followed the announcement.
Tesla partially reversed the store closures in March, saying it would “keep significantly more stores open than previously announced.” Musk later said in a March email to employees that the best-performing stores would remain open, while those that did not generate sufficient revenue would be closed, adding that Tesla would use a similar strategy to evaluate salespeople.
The April 4 cuts came the day after Tesla announced first-quarter delivery numbers that represented a 31% decrease from the prior quarter and fell below analyst estimates, but were a 110% increase from the first quarter of 2018.
Since late 2018, Tesla has made significant changes to the incentive plans for its salespeople. The company has undergone multiple rounds of layoffs in the past year.
Read Bloomberg’s full story here.
Have you worked for Tesla? Do you have a story to share? Contact this reporter at mmatousek@businessinsider.com.
- Read more:
- Morgan Stanley slashes its Tesla target for the 3rd time this year
- Fiat Chrysler will pay for Tesla cars to be included in its fleet in order to meet European emissions limits
- Tesla and Trump both thrive on chaos — but Elon Musk’s car company needs to chill out if it’s going to succeed
- ‘I will nuke you’: Elon Musk was accused of shoving and threatening a former Tesla employee — but the company’s board says there was no physical altercation
SEE ALSO: Tesla just updated its ‘Navigate on Autopilot’ feature — here’s what’s new
Join the conversation about this story »
NOW WATCH: Aston Martin’s new fully-electric Lagonda could be the future of SUVs
[ad_2]