Rivian to lay off 600+ workers / 4% workforce (Oct 23, 2025 report)

[Katsudon]

https://ca.finance.yahoo.com/news/rivian-lay-off-more-600-132318837.html

October 23, 2025

(Reuters) -Rivian Automotive is set to lay off more than 600 people, or around 4% of its workforce, as the electric-vehicle maker looks to reduce costs, the Wall Street Journal reported on Thursday, citing people familiar with the matter.

The company had carried out a smaller round of layoffs, affecting 1.5% of staff, a month ago, the report said.

Rivian, which plans to launch its lower-cost R2 sport-utility vehicle next year, did not immediately respond to a Reuters request for comment.

The company has struggled to achieve consistent profitability amid high production costs, a slowing EV market and intense competition from Tesla, Ford, and a growing slate of Chinese rivals.

It has focused on improving manufacturing efficiency at its Normal, Illinois plant, while preparing for its next-generation R2 models, which are expected to broaden its reach beyond the luxury segment.

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[Golfer04]

I'm not surprised. I live 45 minutes from the plant and know several who work there. I won't repeat what I have heard regarding weekly R1 purchases since subsidy ended, but suffice to say it isn't good. I am a little surprised by that because I thought well over half of sales wouldn't qualify anyway. Also, supply chain issues continue to dog the company. R2 can't come fast enough. Configurator needs to come out soon.

 

[mkg3]

...I have heard regarding weekly R1 purchases since subsidy ended, but suffice to say it isn't good. I am a little surprised by that because I thought well over half of sales wouldn't qualify anyway...

All vehicles qualified for the subsidy if leased. Higher the vehicle price, higher the percent of leased vehicles. Would not surprise me if majority of R1 sales are lease sales.

 

[COdogman]

That's rough. I feel for those employees. Also not really surprising given the overall situation.

 

[Eric9610]

Almost Every Rivian owner I know and its over 10 all have leased the R1. Rivian is going to have a huge problem with inventory of preowned cars they can't move in the next 10 months. Rivian really needs an extended warranty, or they are goanna be stuck. Who wants to touch a $55k preowned car that will need 4-8k in replacements less than 1 year into ownership. This will actually be a death sentence for the brand.

 

[swhme]

Almost Every Rivian owner I know and its over 10 all have leased the R1. Rivian is going to have a huge problem with inventory of preowned cars they can't move in the next 10 months. Rivian really needs an extended warranty, or they are goanna be stuck. Who wants to touch a $55k preowned car that will need 4-8k in replacements less than 1 year into ownership. This will actually be a death sentence for the brand.

granted, I don’t generally go around talking to most people about how they pay for their cars, but the few folks I’m close with who have Rivians all paid cash.

I agree on the extended warranty— I sold my R1T at 50k miles to switch to an S, but now that my S is in the 40s, I’m starting to think more and more about the end of warranty, which I’ll probably hit by summer. Would welcome the ability to buy it up to 120k miles for $5-8k

 

[savethemanual]

All vehicles qualified for the subsidy if leased. Higher the vehicle price, higher the percent of leased vehicles. Would not surprise me if majority of R1 sales are lease sales.

How much does $7500 make a difference on a lease payment when at the R1 price points? Not saying it doesn't affect sales but just curious.

 

[Eric9610]

granted, I don’t generally go around talking to most people about how they pay for their cars, but the few folks I’m close with who have Rivians all paid cash.

I agree on the extended warranty— I sold my R1T at 50k miles to switch to an S, but now that my S is in the 40s, I’m starting to think more and more about the end of warranty, which I’ll probably hit by summer. Would welcome the ability to buy it up to 120k miles for $5-8k

I love my R1T and planned to buy it after the lease but seeing suspension failures at 67k miles that cost up to $4k is crazy. The motor and battery wont be the long-term issue they need to solve. It will be hydraulics, computer and suspension.

 

[Kunzene]

I love my R1T and planned to buy it after the lease but seeing suspension failures at 67k miles that cost up to $4k is crazy. The motor and battery wont be the long-term issue they need to solve. It will be hydraulics, computer and suspension.

I’m at 79k miles and just got an estimate for over $12,000 in repairs - all 4 dampers and the steering rack. I had planned to drive this truck into the ground but I can’t keep it with these kind of repair costs and am planning to trade it in next week.

 

[waitingonanr1s]

Almost Every Rivian owner I know and its over 10 all have leased the R1. Rivian is going to have a huge problem with inventory of preowned cars they can't move in the next 10 months. Rivian really needs an extended warranty, or they are goanna be stuck. Who wants to touch a $55k preowned car that will need 4-8k in replacements less than 1 year into ownership. This will actually be a death sentence for the brand.

I bought my gen 1 and honestly thought I would turn around and buy my gen 2 right away after leasing. Then it spent 20 days in the shop beginning the day after I leased it. So many stories like this and worse out there - turning away folks who would have bought out the cars early if they'd just focus on their QC issues rather than the myriad of things they distract themselves with that don't matter.

They better get the QC right for R2. Their life as an independent corporation likely depends on it.

 

[zer0t]

I’m cheering for Rivian (Lucid too) and the viability of the company. Competition in this space is vital especially given he legacy makers are backing away from EV R&D and production.

How much does $7500 make a difference on a lease payment when at the R1 price points? Not saying it doesn't affect sales but just curious.

~200 bucks / month on a 36 month

 

[UnsungZero_OldTimeAdMan]

Had a feeling this was coming. Layoffs are happening everywhere. And drama over Nexperia and their chips is said to be very damaging to auto industry. But not known if Rivian uses any.

 

[Cal]

I’m at 79k miles and just got an estimate for over $12,000 in repairs - all 4 dampers and the steering rack. I had planned to drive this truck into the ground but I can’t keep it with these kind of repair costs and am planning to trade it in next week.

Looking at EV6’s for a family member. Would you buy Kia again?

 

[Eric9610]

I’m cheering for Rivian (Lucid too) and the viability of the company. Competition in this space is vital especially given he legacy makers are backing away from EV R&D and production.



~200 bucks / month on a 36 month

Just heard BMW in Germany alone got 3k orders for the new iX3 this number blew away internal expectations according to BMW executives. The competition is going to be crazy when the R2 is out, especially the programs legacy brands will offer. The ix3 will be priced at $60k for DM 425+ miles of range and probably lease at about $600-$700 range. I love everything about the Rivian brand but if the pricing is not right on the R2 I don't see a future.

 

[hr206]

Been a lurker and on the list for a R2. But stories about people who love their cars but are afraid of owning them past 50-75k miles scare me. I'm used to Hondas and Toyotas that go 150k+ miles with no unexpected repairs - so that's my expectations. Worried....

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