Lucid Motors kündigt inmitten der Branchenflaute umfangreiche Entlassungen an

Lucid Motors, the luxury electric vehicle (EV) company, is cutting about 400 jobs as the EV industry faces slow growth. According to a recent SEC filing, this layoff round will affect 6% of Lucid’s staff by the end of October, with most layoffs impacting Kalifornien employees, according to SFGate.

Layoffs to Hit All Levels

In an email to staff, CEO Peter Rawlinson explained that the layoffs would affect workers at all levels, including leadership and mid-level management, excluding hourly manufacturing and logistics employees. He expressed hope for Lucid’s upcoming SUV, the Gravity, but noted that it hasn’t started generating revenue yet.

“We are optimizing our resources in a way we believe will best position the company for future success and growth opportunities as we focus on achieving our ambitious goals,” Rawlinson wrote.

High Costs and Heavy Losses

Lucid has struggled with the high costs of starting an EV company. Despite positive reviews of its Air sedan, which ranges from $69,900 to $249,000, the company reported over $680 million in losses from January through March this year. In 2023, Lucid had net losses of $2.8 billion.

To manage costs, Lucid laid off 1,300 workers in March 2023. The company has stayed afloat partly due to funding from its biggest financial backer, Saudi-Arabien‘s sovereign wealth fund. In March, Lucid raised another $1 billion through a stock sale to a subsidiary of the fund.

Industry-Wide Layoffs

Lucid’s layoffs add to the growing list of job cuts in the EV industry, including those at Tesla und Rivian. In his email, Rawlinson urged staff to support their colleagues who are beginning their search for new employment.

EVXL’s Take

The layoffs at Lucid Motors highlight the challenges facing the EV industry, despite increasing consumer interest and positive reviews. The high costs and significant financial losses underscore the tough road ahead for new entrants in the market. Lucid’s reliance on external funding, particularly from Saudi Arabia’s sovereign wealth fund, has been crucial in keeping the company afloat.

The launch of the Gravity SUV could be a turning point, but it will need to quickly generate revenue to sustain Lucid’s ambitions. As the industry evolves, companies will need to balance innovation with financial prudence to thrive.

Photo courtesy of Lucid.