Rivian is reportedly considering laying off 700 employees

Electric car maker Rivian is considering laying off about 5 percent of its 14,000 employees, or about 700 people, according to report from Bloomberg. The report states that although nothing has been formally decided or announced yet, the company is primarily looking to remove jobs that have been added as it scales and that are not involved in manufacturing.

After reaching out to comment on the report, Rivian spokeswoman Miranda Jimenez said the company doesn’t have anything to add at this time. And the Bloomberg He said a few weeks may pass before an official announcement.

This news comes at an important time for Rivian. The company is just beginning to ramp up production of its small cars, SUVs, and delivery vans for Amazon. In its latest earnings report, the company said it did Produced about 2,553 cars, delivered 1,227, and was still planning to achieve 25,000 by the end of the year. (The company will likely include updated production numbers in its second-quarter earnings report, due August 11.) Bloomberg He notes that Rivian has huge cash reserves, but the company also lost an incredible amount of money in the last quarter: about $1.59 billion.

If Rivian is indeed considering laying off a large number of workers, he is not alone. We have seen many of Technique comp She has abandoned large proportions of its employees in recent months, and fellow electric car maker Tesla Announce plans to cut 10 percent of its workforce. However, this is not particularly strange for Tesla and that company It sells hundreds of thousands of cars every quarter. While Tesla’s delay is not unusual, he has proven that he can take vehicles off the line in large quantities. For Rivian, which has nearly 200,000 pre-orders based on its last numbers (half of them from amazon), this ability is still questionable.

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