Tesla cuts lead to temporary closure, layoffs at Whitehall Industries

January 29, 2019 GMT

Whitehall Industries has laid off 128 Manpower employees and temporarily shut down its Madison Street plant following a decrease in production orders from one of its largest customers, Tesla.

The decreased orders are the result of a 7-percent workforce cut made by Tesla last week in an effort to put increased focus on its cheapest electric car — the Model 3 — and to scale back production on the more expensive Model S and Model X, according to a Jan. 18 report from the Associated Press.

Whitehall Industries President David Cooper said the company manufactures parts for all three Tesla models, and said Tesla accounts for a significant portion of Whitehall’s business.


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