Lucid Motors to lay off 1,300 employees in latest cost-cutting move
CASA GRANDE, AZ (3TV/CBS 5) -- Electric vehicle startup Lucid Motors is battling more problems as the automaker plans to lay off part of its workforce this week.
The California-based automaker is reportedly said to be “laser-focused on cost” and an internal memo obtained by the news blog Insider says that about 18% of staff will get a pink slip. Federal SEC filings confirmed the number of layoffs and that an email was sent to employees by Lucid CEO Peter Rawlinson notifying them of the cost-cutting move. Company officials later made that notice public, indicating that the cuts will affect both Lucid employees and contractors “in every organization and level, including executives.” Tap/click here to see the full release.
The news comes days after the automaker reportedly recalled hundreds of 2022 and 2023 Lucid Air models for sudden power loss. According to Kelley Blue Book, about 637 vehicles were recalled because the “electric motors can shut down unexpectedly.”
It’s unclear how many jobs in Arizona would be impacted, but in recent years, the EV manufacturer built a giant AMP-1 factory in Casa Grande and had been holding large-scale hiring events. Impacted employees will be given a severance package and access to career services.
Company shares were down about 7% at market close Tuesday.
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