Rivian Lays Off 140 Employees to Streamline Ahead of R2 Launch

Rivian has laid off approximately 140 salaried employees, roughly 1% of its workforce, as part of a broader effort to streamline operations in preparation for the launch of the R2 in 2026, according to a report from TechCrunch.

The cuts primarily affected Rivian’s manufacturing team and have been quietly rolling out since Wednesday. Multiple former employees, speaking anonymously, said they were told their roles were being eliminated to address “process inefficiencies.”

Rivian confirmed the layoffs in a statement, calling it a “difficult decision” but necessary to improve operational efficiency. A spokesperson emphasized that affected employees are being encouraged to apply for other open positions within the company.

As of the start of the year, Rivian employed over 14,800 workers across North America and Europe, according to its most recent SEC filing.

While these layoffs are small in scale compared to Rivian’s total workforce, they’re a clear signal that the company is laser-focused on getting R2 right. The upcoming R2 is expected to be Rivian’s most important launch to date, its first truly mass-market vehicle. With a starting price around $45,000 and production planned for 2026, the R2 aims to broaden Rivian’s reach significantly.

Cutting inefficiencies now may help the company move faster later. But with growing pressure from Wall Street and the EV market cooling a bit from its pandemic-era highs, Rivian is trying to run leaner and more strategically.