Lucid Motors Layoffs: Company To Lay Off 18% of Workforce and Cut Production Shift Under New CEO Silvio Napoli
Lucid Motors is laying off 18% of its workforce, or 1,500 employees, and cutting a production shift to simplify operations under new CEO Silvio Napoli. The move aims to achieve 158 million USD in annual savings amid a cooling U.S. EV market, as the company prepares to launch its mass-market Cosmos SUV later this year.
Lucid Motors announced on Monday that it is laying off 18% of its workforce, amounting to approximately 1,500 employees. This reduction follows a previous 12% cut in staff implemented just four months ago. Alongside the personnel reductions, the electric vehicle (EV) manufacturer has eliminated the second shift of production at its Casa Grande, Arizona factory.
Lucid Motors Layoffs Under New CEO Silvio Napoli
The layoffs are part of a strategic initiative led by new CEO Silvio Napoli to simplify the company, sharpen operational execution, and increase long-term competitiveness. As part of this organisational restructuring, Lucid Motors has entirely eliminated the role of chief operating officer, resulting in the departure of Marc Winterhoff, who had been serving as interim CEO prior to Napoli’s appointment. Layoffs and AI: Tech Workers With Low AI Usage Face 3 Times Higher Job Loss Risk, Study Finds.
Lucid Motors expects these measures to generate approximately 158 million USD in annualised savings. The company has allocated roughly 32 million USD for severance payments and anticipates the restructuring process will be completed by the third quarter of this year.
These workforce adjustments arrive as the U.S. EV market experiences a cooling trend, prompting several major automakers to revise their electric vehicle product plans. Despite these headwinds, Lucid Motors is preparing to launch its first mass-market vehicle, the Lucid Cosmos SUV, later this year, which is intended to be priced under USD 50,000 to drive the company towards profitability. Are You at Risk? Tech Workers Ignoring AI Face Triple Layoff Probability, Warns New Research.
The company is also pursuing growth in the autonomous vehicle sector through partnerships with Uber and Nuro to deploy a luxury robotaxi service in San Francisco. The recent layoffs occur against a backdrop of significant executive turnover, with more than a dozen senior leaders departing the Saudi-owned firm over the past two years.
(The above story first appeared on LatestLY on Jun 22, 2026 07:50 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
