(Bloomberg/Ed Ludlow and Kara Carlson) — Rivian Automotive Inc. is cutting more than 600 jobs, or about 4.5% of its workforce, as the company contends with an unsteady market for electric vehicles in the US.
In a memo seen by Bloomberg, Rivian Chief Executive Officer RJ Scaringe said the company is cutting the workforce as part of structural adjustments ahead of the launch of its new R2 model and amid the need to profitably scale.
Scaringe said the company is moving multiple functions into a single marketing organization, of which he will act as interim head. The company is also streamlining its service, delivery and sales teams.
Related Articles
Rivian mobility spinoff readies $4,500 e-bike as first product
South Bay office market values plunged in 2024, report shows
Trump pardons Binance founder Changpeng Zhao, high-profile cryptocurrency figure
Intel faces high earnings bar as stock soars and cash pours in
Microsoft pushes Xbox division to hit higher profit margins
The job cuts, which Bloomberg reported earlier Thursday citing a person familiar with the matter, focus on commercial roles across the servicing and sales departments, said the person, asking not to be identified discussing internal decisions. Rivian had about 15,000 employees at the end of 2024.
RELATED: Rivian mobility spinoff readies $4,500 e-bike as first product
Representatives for Rivian didn’t provide comment.
The move underscores the challenges for EV makers under President Donald Trump, whose policies threaten to erode already-unsteady demand in the US. The administration recently eliminated tax credits for EV purchases and has effectively nullified fuel economy and emissions standards, enticing companies to pivot to more profitable gasoline-powered vehicles.
Rivian in August cited tariffs and policy changes when it backed away from a key financial goal, saying it would break even on a gross profit basis this year after earlier predicting a modest profit. The latest round of layoffs comes after Rivian confirmed last month that it cut 1.5% of its workforce.
Its shares rose 1.3% on Thursday in New York. The job cuts were reported earlier by the Wall Street Journal.
(Updates with details from memo starting in second paragraph.)
More stories like this are available on bloomberg.com
©2025 Bloomberg L.P.
