Tesla’s Texas factory workforce reportedly shrunk 22% in 2025

The total workforce at Tesla’s factory outside Austin, Texas, decreased dramatically last year as the company suffered a second consecutive year of declining sales, according to a compliance report. As seen by the Austin American-Statesman.

Tesla plans to employ 21,191 people at the factory in 2024, falling to 16,506 workers in 2025, a 22% decline. This is despite the company’s global workforce growing by 125,665 employees 2024 134,785 employees in 2025According to filings with the U.S. Securities and Exchange Commission.

It’s unclear which teams were most affected by Tesla reducing its workforce at the plant. But the company has become one of the largest employers in the Austin area since opening the factory in 2022. CEO Elon Musk also moved Tesla’s headquarters to 2021, ahead of the factory opening. According to the new report, the company has invested more than $6.3 billion in the facility so far.

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