The workforce at Tesla’s factory near Austin, Texas significantly decreased last year amidst the company’s second consecutive year of declining sales, as reported by Austin American-Statesman. The staff count dropped from 21,191 in 2024 to 16,506 in 2025, marking a 22% reduction, despite Tesla’s global workforce increasing from 125,665 in 2024 to 134,785 in 2025 according to U.S. Securities and Exchange Commission filings.
It remains unclear which departments were most impacted by this workforce reduction. Tesla has become a major employer in the Austin region since the plant’s launch in 2022. CEO Elon Musk moved Tesla’s headquarters to this factory in 2021, prior to its opening. The company has invested over $6.3 billion into the facility as per the new report.