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Rivian Cuts Hundreds of Jobs as It Rolls Out New EVs
Layoffs Hit Service, Customer Operations
Key Takeaways:
- The job cuts amount to less than 2% of Rivian's workforce.
- The move comes about a week after Rivian began customer deliveries of its R2 line of plug-in SUVs.
- Rivian has had multiple rounds of job cuts over the past year to rein in costs as it seeks consistent profitability.
Rivian Automotive is cutting hundreds of jobs as part of a push to reduce costs while it rolls out a new line of electric vehicles.
The job cuts, which amount to less than 2% of the company’s workforce, are concentrated in the service and customer operations, according to a spokesperson. Rivian had more than 15,200 employees at the end of last year.
The move comes about a week after Rivian began customer deliveries of its R2 line of plug-in SUVs, a crucial new model intended to give the brand a lower-cost offering. EV makers have grappled with lukewarm demand in the U.S. and customer concerns over high prices for new vehicles.
Rivian has had multiple rounds of job cuts over the past year to rein in costs as it seeks consistent profitability. In October, the company laid off about 600 workers as part of structural adjustments ahead of the R2 launch, following smaller reductions in September and June.
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Rivian shares fell 5.2% at 1:24 p.m. in New York. The Wall Street Journal earlier reported the new round of layoffs.
