Rivian plans to chop greater than 600 roles, in accordance with an inside memo shared with the corporate on Thursday that was considered by Enterprise Insider.
The electrical car maker’s choice to put off round 4.5% of its workforce of 15,000 comes as administrative modifications loom over the EV business.
The discount is one in every of a number of rounds of layoffs that Rivian has carried out over the previous three years.
Though EV sales in the US hit a record high within the third quarter of 2025, EV makers are dealing with the Trump Administration’s elimination of a $7,500 federal tax credit score. Individuals had till September 30 to capitalize on the tax credit score earlier than the blow hit the EV business, affecting firms like Tesla and Rivian.
The layoffs, which had been first reported by The Wall Road Journal, come as Rivian prepares to launch the R2, which is poised to be the EV maker’s least expensive SUV launch up to now with a goal value of $45,000.
In an interview with Enterprise Insider on Wednesday on the unveiling of Rivian’s e-bike spinoff, ALSO, CEO RJ Scaringe stated the R2 is a essential second for the corporate.
“I might name it an inflection level for us to change into an organization of the dimensions we aspire to be, which is producing many thousands and thousands of automobiles a 12 months,” he stated.
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Rivian has but to succeed in the identical stage of scale as its main US contender, Tesla — however the firm has proven potential for progress.
Earlier this month, Rivian reported 13,200 car deliveries, a 32% year-over-year enhance. Nonetheless, the corporate narrowed its 2025 supply steering to 41,500-43,500 automobiles, amid the tip of the tax credit score incentives and because it prepares for R2 manufacturing.
Learn the memo Scaringe despatched out to staff beneath:
Hello Workforce, I’m writing to share a troublesome replace. With the launch of R2 in entrance of us and the necessity to profitably scale our enterprise, we’ve got made the very troublesome choice to make various structural changes to our groups. These modifications end in a discount within the measurement of our group by roughly 4.5%. These aren’t modifications that had been made flippantly. With the altering working backdrop, we needed to rethink how we’re scaling our go-to-market capabilities. This information is difficult to listen to, and the laborious work and contributions of the group members who’re leaving are drastically appreciated. To make sure we transfer ahead with readability, I need to summarize the areas most impacted.
- Streamlining the Buyer Journey: To offer a seamless expertise for our clients, we’re integrating the Car Operations workstreams into the Service group to create fewer buyer handoffs and clearer possession. We’re additionally integrating the Supply and Cell Operations into the Gross sales group to make sure the acquisition expertise is as seamless as doable with a single touchpoint all through your entire gross sales course of and to supply.
- Elevating Our Advertising and marketing Efforts: Traditionally we’ve got had a number of capabilities that collectively seize what would sometimes be housed in a single advertising group. Now we have made the choice to kind a single advertising group, and whereas we recruit our first Chief Advertising and marketing Officer (CMO), I shall be appearing as Interim CMO. Our Advertising and marketing Experiences group, led by Denise Cherry, and the Artistic Studio group, led by Matt Soldan, will each report on to me for now.
These modifications are being made to make sure we are able to ship on our potential by scaling effectively in the direction of constructing a wholesome and worthwhile enterprise. I’m extremely assured in R2 and the laborious work of our groups to ship and ramp this unbelievable product. Thanks once more everybody. RJ
