Job cuts at Tesla: Criticism from the Secretary of State for Economic Affairs

Job cuts at Tesla: Criticism from the Secretary of State for Economic Affairs

During a visit to the US car manufacturer Tesla's factory in Grünheide near Berlin, the Parliamentary State Secretary in the Federal Ministry for Economic Affairs, Michael Kellner (Greens), expressed his regret about the announced job cuts. About a week and a half after Tesla boss Elon Musk announced his plans, Kellner met with the factory's management and works council on Thursday. He emphasized the importance of attracting and retaining skilled workers in the region.

Employees were informed about the planned job cuts, which will affect a total of 400 jobs. Tesla intends to avoid compulsory layoffs and has previously laid off 300 temporary workers. Kellner praised the efficiency of the electric car factory in producing vehicles. He emphasized that Tesla, with 12,500 jobs, represents an important economic mainstay for the region, Brandenburg and eastern Germany.

The State Secretary underlined the importance of electromobility for achieving climate goals and emphasized the desire to position Germany as a pioneer in modern and sustainable mobility. Tesla boss Elon Musk is planning massive job cuts worldwide in view of the current market situation in the electric car sector and weak sales figures. The company posted its first revenue decline in nearly four years last quarter, falling 9 percent to $21.3 billion.

The challenges Tesla faces illustrate the current changes and adaptations in the global automotive industry in the area of ​​electromobility. Tesla's decisions and their effects will significantly influence developments in the industry and the employment situation in the affected regions. It remains to be seen how Tesla and other players in the market will position themselves in the face of these new challenges and how politics will support the development of electromobility in Germany.