Rivian Layoffs: Jobs cut for the third time in 12 months

What’s happening at Rivian?

Rivian has initiated another round of layoffs, marking the third occurrence of job cuts within the past year. This latest reduction began on Wednesday, as confirmed by online publication EV.

Employees from the Irvine-based electric vehicle manufacturer have started updating their LinkedIn profiles to signal their availability for new job opportunities, citing the recent layoffs as the reason.

Official statements and context

• Rivian stated in an email to Reuters: “This was a difficult decision, but one to support our goal to be gross margin positive by the end of the year.”
• This follows a 1% cut in its workforce back in April, and a previous announcement in February when Rivian revealed a 10 percent workforce reduction, adding to earlier layoffs of 6 percent in July 2022 and May 2023.
• The scale of the latest reduction is still unknown.
• The last round of layoffs in May 2023 affected over a thousand employees at Rivian’s Irvine headquarters. By the end of 2023, the company employed approximately 16,700 salaried and hourly workers.

Impact on Canadian staff

It remains unclear if Canadian employees have been let go by Rivian in this latest round of layoffs.

Industry reaction

The electric vehicle industry is closely monitoring Rivian’s ongoing adjustments. This series of layoffs underscores the broader challenges faced by EV manufacturers as they strive for profitability amidst fluctuating market conditions and increasing competition.

Your next step

If you have been affected by the layoffs at Rivian, continue reading to find out what your rights are, and why you need to contact the employment lawyers at Samfiru Tumarkin LLP.

SEE ALSO
• Tesla layoffs affect software and engineering teams
• IBM layoffs hit long-serving employees in April: reports
• Rivian Layoffs: 10% of staff cut following $2.7B loss

Termination agreements for Rivian employees

In Canada, non-unionized employees at Rivian are owed full severance pay when they lose their jobs due to downsizing, corporate restructuring, or the closure of the business.

This applies to individuals working in any capacity — full-time, part-time, hourly, or potentially even independent contractors — in Ontario, Alberta, and British Columbia.

Severance is the compensation provided to non-unionized workers in Canada by their employer when they are terminated without cause, and can be as much as 24 months’ pay, depending on a number of factors.

WATCH: Employment lawyer Lior Samfiru explains why you are still owed severance if you have been downsized on an episode of the Employment Law Show.

Severance offers and deadlines

Before accepting a severance offer, double-check the amount using our firm’s free Severance Pay Calculator. It has helped millions of Canadians determine their entitlements.

In addition to your salary, make sure to factor in any other elements of your compensation (i.e. bonuses, commission, etc.).

If your employer’s offer falls short of what our Severance Pay Calculator says you are owed, it’s very likely that you have been wrongfully dismissed and should contact an experienced employment lawyer at Samfiru Tumarkin LLP.

Non-unionized employees in Canada have up to two years from the date of their dismissal to pursue proper severance pay. An employer’s deadline to sign back a severance offer is not legally enforceable or binding.

LEARN MORE
• Severance pay for provincially regulated employees
• Rights to severance during mass layoffs
• Severance entitlements in a recession

Major layoffs continue

The job cuts at Rivian come amid a flurry of layoffs in 2024.

Big names, including Vancity, Stifel, WillScot of Canada, Netflix, McKinsey & Co, EXL Service, Best Buy, Relic Entertainment, Ubisoft, Intel, Amazon, Telus, Canada Goose, Dell, Unilever, IBM, and TC Energy, have pulled out the axe as they continue to navigate challenging economic conditions.

SEE ALSO
• Shell to lay off 20% of deals division, part of restructuring
• Walmart Canada cuts jobs amid restructuring, shift to Spark: Reports
• Where are layoffs happening in Canada?

Lost your job? Talk to an employment lawyer

If you have been fired or let go for any reason, contact the experienced employment law team at Samfiru Tumarkin LLP.

Our lawyers in Ontario, Alberta, and B.C. have successfully represented tens of thousands of non-unionized individuals.

In addition to severance package negotiations, we can assist you on a broad range of employment matters, including:

If you are a non-unionized employee who needs help with a workplace issue, contact us or call 1-855-821-5900 to get the advice you need and the compensation you deserve.