Lucid Begins Layoffs with Only 12 Months of Cash Reserves Left

[Aquaman]

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Written by Cláudio Afonso | LinkedIn | X

Lucid Motors, the luxury electric vehicle startup, is cutting its workforce as part of a restructuring and cost reduction plan, according to what former employees told EV. Some of the teams affected include vehicle engineering, IT, Human Resources, Powertrain, and Manufacturing.

 

 

 

 

 

 

 

 

 

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In a statement, Lucid stated that will see “productivity improvements through a reduction of the Company’s current employee workforce by approximately 400 employees, or approximately 6%”.

The company added that it expects to “substantially complete the Plan by the end of the third quarter of 2024”.

Lucid estimates that it will “incur a total of approximately $21 million to $25 million in charges in connection with the Plan, which consist primarily of charges related to severance payments, employee benefits, employee transition, and stock-based compensation,” the company stated.

Below is the memo sent by the CEO Peter Rawlinson to the US-based teams.

The previous layoff, done in March last year, affected 1,300 employees including executive positions.

Earlier this month, Lucid cautioned that its liquidity could only cover investments for the next 12 months. In an updated presentation following its first-quarter financial results, the startup reiterated its annual production guidance of 9,000 vehicles but warned investors that its cash reserves, cash equivalents, and investments are projected to last only until the second quarter of next year.

 

[Hitman]

They are at cross roads. they need mass production to bring the cost down. malla layoffs ante appudu yearly oka 1000 cars anna produce chestaraa mari? 

[Pavanonline]

Saudi undi ga pump chesthane unnaru