Tesla to cut jobs by 7%; reports a small profit in Q4 2018

Tesla Motors CEO Elon Musk has announced a 7% reduction in total full-time workforce.

In an email sent to employees, Musk reported that the company grew by 30% and would need to make the cuts, while increasing the Model 3 production in the coming months. The job cut in workforce comes after a 9% reduction back in June 2018. Only the most critical temps and contractors would be retained.

According to Musk, Model 3 shipments to Asia and Europe will allow the company to target a tiny profit. Initial estimates suggest that the small profit made in Q4 2018 would be less than the previous quarter. In Q3 2018, the company had reported a US$ 311.5 million profit.