Rivian to Cut 6% of its Workforce
Rivian Chief Executive RJ Scaringe announced in a memo to employees plans to trim another 6% of its workforce.

Rivian Chief Executive RJ Scaringe announced in a memo to employees plans to trim another 6% of its workforce.
IMAGE: Rivian
Rivian Automotive has announced plans for another round of layoffs as the electric vehicle (EV) startup attempts to capture some cash as it confronts challenges scaling its business.
Chief Executive RJ Scaringe announced in a memo to employees plans to trim another 6% of its workforce, after cutting 6% of the workforce last summer in response to inflationary pressures and an uncertain economic climate.
Scaringe reported the company needed to focus on its path to profitability and product of its first models and developing future offerings to expand is lineup, reported The Wall Street Journal. He did not specify when the layoffs would occur, only that affected employees would receive an email from their supervisors. The company plans to hold a meeting on Friday to discuss the reductions with employees, he said.
Currently Rivian reportedly has 14,000 employers, according to the WSJ report.
Rivian has encountered supply chain snags and other difficulties in ramping up its output, causing the startup to miss year-end production targets for 2022. These setbacks have caused share values to plummet 73% in the last year. Stock values inched up 1.6% Wednesday following the layoff announcement.
The layoffs follow other moves to preserve cash, including pushing back the launch of the R2 line, halting the hire of nonfactory workers, and increasing prices on its EVs.
The company isn’t cutting back everywhere, however. Rivian has committed to building a $5 billion factory in Georgia, which should open in 2026.
Originally posted on Auto Dealer Today
More Industry

World EV Adoption Set to Grow
A new report says the segment, despite recent setbacks in some regions, is poised for acceleration as many countries look to reduce pollution.
Read More →
Black Book: Weekly Market Update
Wholesale automotive auction business stayed steady last week as bidders encountered lower prices, analysts observed.
Read More →
Pricing Transparency Drives Purchase Consideration
An annual study by JD Power found that clear pricing matters to consumers on automaker websites, so much so that it increases their purchase consideration.
Read More →
Black Book: Weekly Market Update
Used-vehicle market depreciation was the prevailing story in the wholesale market last week.
Read More →
Smaller Is Looking Better
A growing number of Americans in the market for a new vehicle are opting for more affordable options, not waiting for market stability to bite the bullet.
Read More →
U.S. EV Market Slowly Stabilizes
U.S. electric-vehicle interest is slowly stabilizing since a major dip in sales after last year's end of the federal EV tax credit, and hybrids remain the leading electrified power train.
Read More →
Global EV Market Entering New Phase
Automakers are making investments to lower battery costs and optimize production to meet changing consumer needs.
Read More →
Black Book Weekly Market Update
The holiday weekend, not surprisingly, put a drag on wholesale automotive activity last week, analysts observed.
Read More →
Auto Affordability in Context
Cox Automotive points out the complex circumstances that have led to eye-popping vehicle prices.
Read More →
Black Book: Weekly Market Update
Automotive auction inventory increased last week, giving choosy bidders even more leeway.
Read More →