Rivian cuts jobs after R2 launch, targeting profitability

Rivian cuts – Rivian Automotive confirmed it is initiating another round of job cuts days after unveiling its R2 mid-size SUV to the public. The company says fewer than 2% of its workforce will be affected, with the cuts focused on service and customer departments. The move

Rivian’s R2 was just reaching customers when the company began delivering another message—this one inside its own walls.

Days after Rivian launched its new R2 mid-size SUVs to the public. the electric SUV maker confirmed it was initiating another round of job cuts. The decision landed quickly enough to feel like part of the same day’s story for investors and workers: a new product on the outside. cost cuts on the inside.

Rivian’s first major layoff round came in October, when the company laid off more than 600 workers after the Trump administration eliminated the $7,500 electric vehicle credit. Those cuts amounted to about 4.5% of its workforce.

This time, Rivian says the job cuts will affect fewer than 2% of its workforce. With just over 15,200 employees at the end of 2025, that reduction would equate to around 300 job losses. The latest cuts primarily target teams in the company’s service and customer departments. which handle sales and marketing for Rivian.

For those affected, the company is offering a path to stay. Those being laid off will have the option of applying for other open roles at the company.

The company’s explanation points to a single goal: profitability. In a statement confirming the layoffs, a Rivian spokesperson said, “We recently restructured a handful of teams within Rivian as we work to profitably scale our business.”

Rivian’s financial results make the pressure behind that word “profitably” hard to miss. The company sold around 42,000 EVs last year, bringing in $5.4 billion in revenue, but it posted a $3.6 billion loss. Since it was founded in 2009, Rivian has never posted a full year of profit.

The company is also facing steep losses at the vehicle level. In its first quarter this year, its automotive segment lost around $6,000 for every vehicle it sold.

To change the math, Rivian is leaning into more affordable vehicles, with the R2 taking center stage. The R2 mid-size SUV began delivering to customers last week. and it carries a package price of around $58. 000—far below Rivian’s R1S and R1T. each priced at more than $100. 000. Rivian’s stated intent is to expand beyond the luxury market and broaden its customer base.

That intent collides with the timing of the layoffs. The job cuts are concentrated in the service and customer departments responsible for sales and marketing, even as the R2 is rolling out.

Rivian’s stock reaction suggests investors were not convinced this cost shift would instantly translate into momentum. After the layoffs were confirmed yesterday, RIVN shares closed down 4.5%. The stock closed at $15.93, and total losses since the year began climbed to more than 19%. Over the past 12 months, however, RIVN shares are still up by more than 15%.

By early trading today, the picture moved slightly. In premarket trading, as of the time of this writing, RIVN shares were back above the $16 mark, up about 0.56%.

Behind the numbers. the sequence remains stark: a push for profitability is being paired with workforce reductions right as the company tries to scale a new. cheaper SUV. Whether that trade-off supports the R2’s success will likely be watched just as closely as the next turn in the company’s financial turnaround.

Rivian R2 launch layoffs job cuts electric vehicles EV maker RIVN stock profitability service and customer departments automotive segment losses