Full story
Second cut hits U.S.
Lucid Group said it is cutting its U.S. workforce by approximately 18% as part of a cost-savings plan, and the company said the move would deliver annualized cost savings of approximately $158 million.
“cutting its U.S. workforce by approximately 18%”
The company also said its chief operating officer, Marc Winterhoff, is leaving the company effective immediately, and Lucid said the role of COO has been eliminated.
Lucid said it expects to incur cash charges of approximately $32 million related to severance, employee benefits and employee transition associated with the latest cuts.
Lucid’s restructuring includes eliminating the second shift of production at its AMP-1 factory in Arizona, and the company said it suspended its guidance after evaluating its business operations.
CNBC reported that Lucid had about 9,000 employees globally as of Dec. 31, and it noted that in February Lucid laid off about 12% of its U.S. workforce.
Napoli’s restructuring
TechCrunch said the layoffs come as Lucid’s new CEO, Silvio Napoli, is trying to “simplify the company, sharpen execution, and position Lucid to become more competitive over time,” and it said the cuts are “part of a bid” by Napoli.
TechCrunch reported that Lucid eliminated the second shift of EV production at its factory in Casa Grande, Arizona, and it said Marc Winterhoff has also left the company.
In a regulatory filing, Lucid said it has eliminated the chief operating officer position entirely, and TechCrunch reported that Winterhoff, Napoli, and the company had previously said he would stay on as chief operating officer after stepping down as interim CEO.
The company said the layoffs will help it align “production plans with anticipated demand,” and TechCrunch reported that Lucid expects the restructuring to complete by the third quarter of this year.
TechCrunch added that Lucid will pay approximately $32 million in severance, and it said Winterhoff will get severance, “certain security support,” and be able to keep his company vehicle.
What Lucid is betting on
Lucid said the cuts come as it works toward releasing its first mass-market vehicle later this year, the Lucid Cosmos SUV, and TechCrunch reported the lower-cost EV is supposed to start at under $50,000.
“the Lucid Cosmos SUV”
TechCrunch said Lucid is also attempting to become a major player in the autonomous vehicle space, partnering with Uber and Nuro on a luxury robotaxi service slated to launch later this year in San Francisco.
InsideEVs reported that Lucid is now betting its turnaround on two upcoming mass-market electric crossovers, the Cosmos and the Earth, with the Cosmos expected to start around $50,000 and production slated to begin before the end of this year.
InsideEVs said the Earth is expected to follow by the end of 2027, and it reported that the company’s layoffs are part of a broader restructuring plan that also includes eliminating the second production shift at its AMP-1 factory in Arizona.
InsideEVs also said Lucid’s second round of layoffs in 2026 follows a 12% workforce reduction in February, and it reported that the company expects the restructuring to save around $158 million and anticipates cash charges of roughly $32 million for severance, employee benefits, and transition costs.
