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Rivian Cuts Hundreds From Service Teams as R2 Deliveries Begin

Management says the restructuring will reduce fixed costs to help the company reach automotive gross profit positivity by year-end 2026.

Overview

  • The company announced the latest round of cuts on Tuesday, trimming just over 300 roles in service and customer-facing teams that handle support, deliveries and service appointments.
  • A Rivian spokesperson told The Wall Street Journal the reductions amount to under 2% of the workforce, a smaller proportional cut than October 2025 when the company cut more than 600 roles.
  • CEO RJ Scaringe recently said headcount has risen to about 17,000 as Rivian adds engineering and manufacturing staff to support the R2 ramp.
  • Rivian has guided for 20,000–25,000 R2 deliveries in 2026 and 62,000–67,000 total vehicles, which will expand the owner base that relies on the company’s direct sales and service network.
  • Analysts warn that thinning customer teams while the R2 rollout proceeds could lengthen service waits and strain owner support, a risk worsened by a broader EV demand slowdown and the loss of federal purchase tax credits.