Rivian has laid off approximately 140 employees, representing around 1% of its total workforce, as the company gears up for the 2026 launch of its new, more affordable R2 SUV.
The latest round of job reductions primarily impacted Rivian’s manufacturing division, with layoffs beginning earlier in the week, according to multiple former employees who requested anonymity. Staff members were reportedly informed that their positions had been targeted because they contributed to “process inefficiencies.”
In a statement, a Rivian spokesperson confirmed the layoffs, describing them as part of an ongoing effort designed to enhance operational efficiency leading up to the production rollout of the R2 model. The company added that laid-off employees have been encouraged to apply for other open roles within the organization.
At the start of 2025, Rivian employed over 14,800 people across North America and Europe, according to regulatory filings. This latest set of layoffs marks the third such reduction since the beginning of 2024, following earlier rounds that included a 10% workforce reduction and a subsequent smaller cut of roughly 1%.
These staff reductions come at a critical juncture for Rivian as the company aims to streamline its operations in an increasingly competitive electric vehicle landscape. The forthcoming R2 SUV, positioned as a more affordable option compared to its existing models, is crucial to Rivian’s strategy for expanding market share and consumer adoption.
