The workforce at Tesla’s Texas factory is said to shrink by 22% in 2025

The total workforce at Tesla’s factory outside Austin, Texas, shrank significantly last year as the company suffered a second straight year of declining sales, according to a compliance report. Spotted by the Austin American-Statesman.

Tesla went from employing 21,191 people at the factory in 2024 to 16,506 workers in 2025, a 22% decline. This is despite the company’s global workforce growing from 125,665 employees 2024 To 134,785 employees 2025According to US Securities and Exchange Commission filings.

It’s not clear which teams will be most affected by Tesla reducing its workforce at the factory. But the company has become one of the largest employers in the Austin area since it opened the factory in 2022. CEO Elon Musk also moved Tesla’s headquarters to the factory in 2021 before it opened. The company has invested more than $6.3 billion in the facility to date, according to the new report.