Rivian Lays Off Under 2% of Workforce in Sales and Marketing Days After R2 Deliveries Start

Rivian laid off less than 2 percent of its workforce on Tuesday, targeting teams in its service and customer organization that handle sales and marketing functions. The company confirmed the reductions to Business Insider and said the changes are meant to help it scale more efficiently while building a healthy and profitable business.

" The cuts occurred days after Rivian began delivering its first R2 SUVs to customers on June 9.

The midsize SUV competes with Tesla's Model Y in the segment that accounts for America's highest vehicle sales volume. Rivian said it remains confident in the R2 and its ability to deliver and ramp production of the five-seater. The company's other passenger vehicles, the R1T pickup and R1S three-row SUV, established Rivian as a premium EV brand but have not produced net income profit.

A person familiar with the layoffs told Business Insider that some affected employees learned of the changes directly from their managers. Affected workers are eligible for rehire and are encouraged to apply for other open roles at Rivian. The company is providing severance packages, benefits, and career-transition services.