The total number of employees at Tesla’s plant near Austin, Texas saw a significant reduction last year as the firm experienced its second consecutive year of falling sales, as per a compliance report highlighted by the Austin American-Statesman.

Tesla’s workforce at the factory decreased from 21,191 individuals in 2024 to 16,506 in 2025, marking a 22% decline. This occurred even as the company’s overall global staff increased from 125,665 in 2024 to 134,785 in 2025, based on documents submitted to the U.S. Securities and Exchange Commission.

It remains unclear which departments were hit hardest by Tesla’s workforce reductions at the factory. Nonetheless, the company has emerged as one of the largest employers in the Austin region since the factory’s opening in 2022. CEO Elon Musk also moved Tesla’s headquarters to the factory site in 2021 prior to its launch. The company has poured over $6.3 billion into the facility thus far, according to the latest report.