Rivian Lays Off 140 Employees to Streamline Manufacturing Ahead of R2 Launch
Jun 26, 2025

Rivian Lays Off 140 Employees to Streamline Manufacturing Ahead of R2 Launch

AI-summarised brief · reviewed before publication

Rivian, the electric vehicle manufacturer, has laid off around 140 employees, which represents approximately 1% of its workforce, as it prepares for the launch of its more affordable R2 SUV in 2026. The layoffs, which were mostly made to Rivian's manufacturing team, have been ongoing since Wednesday, according to multiple former employees who wished to remain anonymous. The affected employees were informed that the company was eliminating roles that created "process inefficiencies." Rivian confirmed the layoffs in an email to TechCrunch, stating that the decision was made as part of an ongoing effort to improve operational efficiency for the R2 launch. "We have made the difficult decision to reduce a small number of our salaried manufacturing employees as part of an ongoing effort to improve operational efficiency for R2," a spokesperson wrote. The company added that affected employees are being encouraged to apply to other open positions within the company. At the start of the year, Rivian had more than 14,800 workers in North America and Europe, according to its annual filing with the Securities and Exchange Commission. This is not the first time the company has made significant layoffs, having previously reduced its workforce by 10% in early 2024 and again by around 1% in April 2024. The latest layoffs are part of Rivian's strategy to streamline its manufacturing process ahead of the R2 launch, which is expected to be a more affordable SUV option. The company is working to improve operational efficiency to ensure a successful rollout of the new vehicle.