Rivian Automotive announced layoffs affecting hundreds of employees on Tuesday. These job cuts represent less than 2% of the company's total workforce. The reductions primarily impact the service, customer, sales, and marketing departments.
The restructuring aims to reduce costs and help the electric vehicle maker scale its business profitably. This move comes one week after Rivian began deliveries of its R2 mid-size SUV.
The company has implemented a series of workforce reductions over the past year to improve operational efficiency. Rivian shares fell 5% in afternoon trading following the announcement.