The cut represents less than 2% of Rivian’s workforce, according to The Wall Street Journal.
- The layoffs primarily impacted employees in the company’s service and customer organization, which oversees sales and marketing functions, the report said.
- Rivian had about 15,200 employees as of the end of 2025.
- The company started delivering its R2 midsize SUV to customers earlier this month.
Shares of Rivian Automotive Inc (RIVN) fell 5% on Tuesday on the heels of reports that the EV startup has laid off many employees in a bid to make the business more profitable on the heels of launching its R2 midsize SUV.
The cut amounts to less than 2% of Rivian's workforce, according to The Wall Street Journal. Based on the company's headcount of about 15,200 at the end of 2025, the move would affect around 300 employees.
Who Will The Layoffs Impact?
The layoffs primarily impacted employees in the company’s service and customer organization, which oversees sales and marketing functions, the report said.
This marks another round of targeted workforce reductions for the EV startup, which has conducted multiple rounds of layoffs in recent years to control costs and improve efficiency.
Rivian’s R2 SUV Pivot
Rivian started delivering its R2 midsize SUV to customers earlier this month. The vehicle, with a base variant priced around $45,000, is expected to expand Rivian’s total addressable market and compete with Tesla Inc’s best-selling Model Y SUV.
Rivian’s other offerings, including its R1T truck and its R1S SUV, are priced over $70,000 for even base variants, and cater to a premium segment of EV buyers. However, the base variant of the vehicle is yet to reach customers. The company started deliveries with the more premium Performance variant priced at around $57,990. Deliveries of the cheaper variants are expected to follow into the next year.
In the first quarter of 2026, Rivian delivered consolidated revenue of $1.381 billion, while narrowing its net loss to $416 million from $541 million in the prior-year quarter. The company is yet to record an annual profit.
How Did RIVN Retail Traders React?
On Stocktwits, the retail sentiment around RIVN fell from ‘neutral’ to ‘bearish’ over the past 24 hours, while message volume stayed at ‘high’ levels.
A Stocktwits user highlighted that the company still has openings listed on its career website.
Another user termed the layoffs a “good sign” and noted that Tesla has also laid off employees in the past.
RIVN stock has fallen 18% this year.
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