In an internal memorandum sent to Tesla employees on Monday, CEO Elon Musk announced a drastic move: More than ten percent of the global workforce is to be laid off, affecting around 14,000 jobs. This measure, Musk said, is essential to keep the company lean and eager to innovate for future growth.

The decision comes at a time when Tesla is facing declining sales figures and ongoing issues with new models such as the electric pickup Cybertruck. In the first quarter, the company recorded a sales decline of 8.5 percent compared to the previous year.

The job cuts are also a response to the generally weak demand for electric cars, which has been affected by the phasing out of purchase incentives in various markets and rising interest rates that increase the cost of car loans. Elon Musk's strategy aims to keep Tesla competitive and agile in a challenging economic landscape.