Report: Cuts expected at Rivian | Local business

NORMAL – Rivian Automotive is planning hundreds of layoffs, Bloomberg first reported Monday, citing unnamed “people familiar with the matter.”

It was not immediately clear whether positions in the company’s normal operations would be affected. Miranda Jimenez, corporate communications at Rivian, said: “We have nothing to add at this time.”

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The rumored layoffs are expected to focus on non-manufacturing positions, Bloomberg said, and could affect 5 percent of the company’s 14,000 employees, or 700 people. Sources told Bloomberg that the layoffs could be announced in the next few weeks.

The electric vehicle maker is headquartered in California. It manufactures vehicles at its west Normal plant, which it purchased in 2017. As of last month, it employed more than 5,800 people.

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Rivian also plans to expand the plant. Projects include additions to the manufacturing space as well as a wind turbine.

Rivian also plans a manufacturing plant in Georgia, where it is receiving $1.5 billion in state and local aid.

The company launched its IPO in November. However, the stock fell after an initial surge that peaked above $170 per share. Shares were at $31.99 at the close on Friday.

Production is also lower than originally expected, a problem that company officials attribute to supply chain issues.

Rivian isn’t alone in the layoffs in the electric vehicle space right now, Bloomberg reported. Tesla also plans layoffs.

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Contact Connor Wood at (309)820-3240. Follow Connor on Twitter: @connorkwood

Contact D. Jack Alkire at (309)820-3275.

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