Rivian founder and CEO RJ Scaringe will temporarily assume the role of chief marketing officer as part of a broader restructuring aimed at preparing the U.S. electric vehicle maker for the launch of its upcoming R2 SUV next year. The restructuring includes a layoff of more than 600 employees, or about 4.5% of the company’s workforce, Scaringe told staff in an internal email on Thursday.
“I am writing to share a difficult update,” Scaringe said in the message to employees. “With the launch of R2 in front of us and the need to profitably scale our business, we have made the very difficult decision to make a number of structural adjustments to our teams. These changes result in a reduction in the size of our team by roughly 4.5%.”
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The announcement marks Rivian’s third round of layoffs this year, following workforce reductions in June and September that affected manufacturing, sales, and service divisions. Earlier in 2024, the company also carried out a 10% cut across its global workforce.
Scaringe’s expanded interim role will place the company’s marketing experiences team and creative studio under his direct supervision, as Rivian searches for its first chief marketing officer. The company is also reorganizing its go-to-market operations, integrating its vehicle operations team with the service division and moving delivery and mobile operations under the sales department.
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Scaringe said the restructuring is a response to what he described as a “changing operating backdrop,” citing the loss of the federal electric vehicle tax credit, higher tariffs under the Trump administration, and broader challenges facing clean energy industries. The changes, he added, are intended to help Rivian “streamline the customer experience” and create “a single touchpoint throughout the entire sales process and delivery.”
Rivian, which produces the R1T pickup, R1S SUV, and electric delivery vans for Amazon, is preparing to introduce the smaller and more affordable R2 SUV in 2025. The model is seen as key to broadening Rivian’s market reach and improving its path to profitability.
Source: TechCrunch
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