‘Tesla will close some SolarCity branches due to reorganization’

It seems that the reorganization at Tesla will have major consequences for SolarCity, the subsidiary that deals with solar panels. A number of the company’s branches are likely to close due to the announced wave of layoffs.

This reports Reuters news agency on the basis of documents that it has seen. Reuters relies on three documents and stories from seven current and former employees. Tesla itself has not confirmed the reporting. According to the news agency, the intention is that about a ‘dozen’ branches of SolarCity will close. These branches are located in the United States, with about sixty remaining after the closure.

The branch closures are in line with Tesla’s intention to lay off nine percent of its employees worldwide in an effort to become profitable. However, it is not clear how many jobs will be lost when the SolarCity branches are closed.

SolarCity is engaged in the provision and installation of solar panels, and was founded by two relatives of Tesla CEO Elon Musk. Tesla later took over the company, in a deal that many consider controversial.