Tesla down on Wall Street, value drops below 500 billion. -38% decrease since the beginning of the year, 3000 redundancies in Germany

Tesla is losing 4% on Wall Street, bringing its decline since the start of the year to 38%. The decline saw it burn $290 billion and see its market capitalization drop below $500 billion as investors see growing risks for the electric car giant.

There would be about 3 thousand seats of the jobs that the American car manufacturer Tesla intends to cut in the German factory, out of a total of 14 thousand people cut in the world. This is a figure that is being circulated in the German media, but it is currently being denied by the group’s spokesperson who announced yesterday that 10 percent of the workers will be axed. The decline in earnings due to the collapse of the electric vehicle market and the weakness of sales at the global level weighed heavily, as did the delay of shipments at the European plant in Grünheide due to the crisis in the Red Sea. “We are confident that it is an efficient and well-balanced organization that is well-positioned for the challenges of the future.

Our experience shows that this approach contributes significantly to our success,” a Tesla spokesperson said on the German website. “We are investigating this move and will take it forward to Gigafactory Berlin-Brandenburg in compliance with all requirements regarding labor law and collective decision-making, to the involvement of the works council”, insists the group in a letter explaining “unfounded” the information distributed in the media of 3 thousand jobs will be deleted from a total of 12,000 workers of the Giga factory near Berlin.