Tesla to cut 7 percent of workforce

Tesla CEO Elon Musk said Friday that the electric-car maker is cutting its full-time staff by 7 percent as it struggles to cut prices and ramp up production of its Model 3 sedan, the company's first mass-market vehicle, CNN reports.

The job reductions follow other cost-cutting measures as Tesla struggles to expand profitability. Musk wrote in an email to Tesla employees that the company is "up against massive, entrenched competitors" and has to work "much harder than other manufacturers to survive while building affordable, sustainable products," reports CNBC. He added that building "affordable clean energy products at scale necessarily requires extreme effort and relentless creativity."

Tesla shares fell on the news, declining by nearly 6 percent in premarket trading. Read more at CNBC.

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