EV maker Lucid cuts 18% of U.S. workforce, eliminates COO role

On the Dash:

• Lucid is cutting roughly 18% of its U.S. workforce and eliminating its COO role, effective immediately.
• The restructuring targets $158 million in annual savings and scraps a shift at Lucid’s main factory.
• It is Lucid’s second round of layoffs this year, following a 12% cut in February.

Lucid Group will cut about 18% of its U.S. workforce and has eliminated its chief operating officer role, with COO Marc Winterhoff departing effective immediately. The electric vehicle maker made the announcements in a regulatory filing on Monday.

Winterhoff had resumed the COO role on June 1, when Silvio Napoli took over as chief executive. Winterhoff previously served as Lucid’s interim CEO.

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The layoffs affected full-time employees, contractors and hourly production workers in manufacturing. Lucid also eliminated the second shift at its AMP-1 factory, its primary production plant. 

The cuts are part of a broader restructuring plan aimed at pushing the EV maker toward profitability and positive cash flow. It’s important to note that the company expects the plan to deliver roughly $158 million in yearly cost savings. 

Additionally, the cut marks at least the second round of layoffs this year. In February, Lucid cut about 12% of its workforce in a separate restructuring effort. 

In May, the company suspended its full-year guidance pending a business review under Napoli, and its net loss widened in the first quarter. A supplier issue tied to second-row seats had disrupted Gravity SUV deliveries in February.