Overview
- Rivian confirmed Tuesday that it cut less than 2% of its workforce, notifying hundreds of employees in service and customer-facing roles responsible for deliveries, support and sales.
- The layoffs came about one week after Rivian began delivering the R2 midsize SUV, the model the company expects to drive a large increase in volume and improve margins.
- Rivian framed the move as a restructuring to “profitably scale” the business and said affected workers will receive severance, benefits and career-transition assistance.
- The company has never posted an annual profit and carried an accumulated deficit of roughly $27 billion at the end of 2025, a financial strain that has led to multiple rounds of cuts since 2024.
- Trimming service, sales and marketing staff as the R2 rollout expands could lengthen repair and delivery wait times for new owners and is a key risk to customer experience during the ramp.