Lucid Reportedly Lays Off 12% Workforce Amid Gravity SUV Ramp-Up

• Hourly workers on the manufacturing, logistics, and quality teams are not affected by the cuts, the report said. 
• Based on Lucid’s report of 6,800 full-time employees as of Dec. 31, 2024, the layoff is likely to impact roughly 800 employees.
• The layoffs come amidst the company’s efforts to ramp up deliveries of its Gravity SUV, and launch a new lower-cost midsize vehicle.

EV maker Lucid Motors (LCID) is reportedly laying off 12% of its workforce as it gears up to profitability amid efforts to ramp deliveries of its Gravity SUV.

Techcrunch reported on Friday, citing an internal memo, that the layoffs are likely to impact hundreds of employees. Hourly workers on the manufacturing, logistics, and quality teams are not affected by the cuts, the report said.

Based on Lucid’s report of 6,800 full-time employees as of Dec. 31, 2024, the layoff is likely to impact roughly 800 employees. A majority of the company’s workers are based at the company’s headquarters in California and its regional headquarters in Riyadh, Saudi Arabia, in addition to its manufacturing facilities in Casa Grande, Arizona, and Saudi Arabia, the company had said in its 2024 annual report.

CEO Speaks

“We are grateful for the contributions of those impacted by today’s actions, and we are providing severance, bonus, continued health benefits, and transition support to help them through this period,” interim CEO Marc Winterhoff reportedly wrote in the internal memo sent to employees not involved in the workforce reduction action.

The CEO also added that the company’s core priorities remain the same, including the start of production of the company’s midsize platform.

The company is expected to announce its fourth quarter and full-year earnings on Feb. 24.

Lucid Attempts To Ramp Deliveries

The layoffs come amidst the company’s efforts to ramp up deliveries of its Gravity SUV, and launch a new lower-cost midsize vehicle.

The company sold 15,841 vehicles in 2025, marking a growth of 55% year-on-year. The company currently sells two vehicles, including the Air sedan and the newer Gravity SUV. Both the vehicles cater to a more premium audience, owing to their higher price points.

The company is looking to start the production of a midsize platform later this year with the aim of expanding into the mass-market EV segment. Lucid is looking to launch three vehicles on the platform, starting with a midsize crossover priced around $50,000.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around LCID stock fell from ‘neutral’ to ‘bearish’ territory over the past 24 hours, while message volume remained at ‘low’ levels.

LCID stock has dropped 71% over the past 12 months. 

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