- Cuts to affect full-time employees, contractors and hourly manufacturing workers
- Company’s COO exited the firm in second major shakeup in recent months
- Lucid grapples with strong competition and pricing pressure in EV market
June 22 (Reuters) - EV maker Lucid Group said on Monday it would cut about 18% of its U.S. workforce and announced COO Marc Winterhoff had left the company, marking its second major executive change in recent months as it tries to boost profitability amid growing competition.
Shares of the company were down about 4%.
The job cuts highlight mounting pressure on EV makers such as Lucid to rein in costs as consumers gravitate toward lower-priced models, while intensifying competition from established automakers and newer entrants weighs on profitability.
about 9,000 employees globally as of December 31, said the cuts would affect full-time employees, contractors and hourly manufacturing workers. It also scrapped the second shift at its AMP-1 factory, its primary EV production facility.
In February, Lucid had cut 12% of its U.S. workforce as it sought to conserve cash in an industry marked by heavy spending.
The EV maker has been grappling with operational setbacks, including a supplier-related issue that disrupted deliveries of its Gravity SUV in February. Last month, the company suspended its 2026 production outlook, pending a review of the business.
The automaker has been counting on its Gravity SUV and upcoming mid-size vehicle platform to fuel growth, while pursuing a robotaxi rollout through partnerships with Uber and self-driving startup Nuro.
The restructuring will result in about $32 million in severance and other employee-related charges, while delivering annualized cost savings of approximately $158 million, Lucid said.
Winterhoff served as Lucid's interim CEO for over a year after Peter Rawlinson stepped down from the role in February 2025. In April, the EV maker appointed former Schindler chief Silvio Napoli as CEO.
Reporting by Anhata Rooprai and Zaheer Kachwala in Bengaluru; Editing by Diti Pujara
Source: Reuters