In this study, DP980 steel sheets were laser welded with a laser power of 4.5 kW and a welding speed of 4.5 m min−1. The microstructural evolution and mechanical properties of the welded joint and the effect of notch location on tear toughness were evaluated. Results show that the fusion zone (FZ) was composed of lath martensite, the hardness (276 HV) of the heat-affected zone (HAZ) was lower than that of the base metal (305 HV) resulting from martensite tempering. The welded specimens failed at the soft HAZ with a 98.4% joint efficiency during the tensile test, and the ultimate tensile strength of the as-recieved steel and welded joint was 1026 MPa and 1010 MPa, respectively. The tear energy of the FZ and HAZ was lower than DP980 base metal (BM). Thus, it is considered that the fracture toughness of the joint decreased after welding. The crack growth path of the FZ gradually deviated toward the HAZ during tearing due to the asymmetrical plastic zone at the crack tip. Compared with the ductile fracture of the base metal, the significant decrease in the fracture toughness of the welded joint is due to the weak deformation resistance of tempered martensite.