Rivian Cuts 600 Jobs Amid EV Market Struggles
Rivian Automotive (RIVN.O) is laying off approximately 600 employees, representing 4% of its workforce, as part of cost-cutting measures. This marks the second round of layoffs in recent months, following a 15% reduction announced last month. The cuts primarily target commercial roles in sales and servicing divisions.
The electric vehicle manufacturer faces mounting challenges, including production delays, $5 billion in cumulative losses since 2021, and cooling demand. Q2 sales dropped 6.3% year-over-year, reflecting broader headwinds in the EV sector. Rivian's struggles are compounded by intense competition from Tesla, Ford, and Chinese automakers.
Market conditions have deteriorated under the TRUMP administration, with policy changes further destabilizing already fragile demand. The company is now restrategizing ahead of its R2 SUV launch, hoping to navigate an increasingly hostile environment for EV manufacturers.
