Rivian cuts dozens on manufacturing team ahead of R2 launch

Rivian has laid off approximately 140 employees, about 1% of its workforce, primarily from its manufacturing team, as part of preparations for the launch of its more affordable R2 SUV scheduled for 2026. The layoffs began midweek and were attributed to efforts to eliminate "process inefficiencies" and improve operational efficiency ahead of the new vehicle’s release. Rivian confirmed the reductions and noted that affected employees are being encouraged to apply for other open roles within the company. The company started 2025 with over 14,800 employees across North America and Europe and has implemented multiple workforce reductions in recent years, including a 10% cut in early 2024 and another 1% reduction in April 2024. These ongoing layoffs reflect Rivian’s broader strategy to streamline operations as it prepares to expand its product lineup and compete in the increasingly competitive electric vehicle market.