Nio to Slash Staff by 10% and May Spin Off Units

(Bloomberg) — Nio Inc. is cutting jobs and may spin off noncore businesses to reduce costs and improve efficiency as the Chinese electric-vehicle maker falls way short of its sales targets and continues to post losses.

Shanghai-based Nio will cut 10% of staff positions in November, according to an internal letter signed by founder and Chief Executive Officer William Li seen Friday by Bloomberg News. “Duplicate” and “inefficient” roles will be eliminated, and project investment that won’t contribute to the company’s financial performance within three years will be deferred or cut, Li said.