Lucid Group Inc. is eliminating 18% of its workforce, including employees and contractors, as the company looks to cut costs in its second full year of production.
(Bloomberg) — Lucid Group Inc. is eliminating 18% of its workforce, including employees and contractors, as the company looks to cut costs in its second full year of production.
The reductions amount to about 1,300 positions, the electric vehicle startup said in a regulatory filing Tuesday. Lucid said it’s “reviewing all non-critical spending at this time” and expects to incur charges of $24 million to $30 million related to its restructuring plan.
“These decisions are designed to position us to be more resilient and agile, thereby strengthening the company for the long-term,” Chief Executive Officer Peter Rawlinson said in an email to staff. He called the job cuts “painful but necessary.”
Lucid shares were little changed in postmarket trading in New York. The stock fell 7.2% during the regular session Tuesday after Insider reported on the job-cut plans.
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