Lucid Motors will lay off about 12% of its global workforce as the U.S. electric vehicle manufacturer seeks to streamline operations and improve financial performance, according to an internal message from its interim chief executive.
The California-based company, known for the premium Air sedan and Gravity SUV, continues to face heavy losses even as vehicle deliveries increase. In the third quarter of 2025 alone, Lucid reported a net loss of $978.4 million, bringing cumulative losses since its founding to roughly $14.8 billion by the end of September 2025.
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“We are streamlining our organisation so we can operate with greater efficiency and deliver on our commitments to gross margin improvement and long-term growth,” interim CEO Marc Winterhoff said in an internal email cited by U.S. media outlets.
Lucid said production roles would largely be unaffected, with most reductions targeting office-based positions. The company reported around 6,800 employees worldwide at the end of 2024, suggesting more than 800 jobs could be impacted if staffing levels remain similar. Affected workers are expected to receive severance packages, bonuses, continued health benefits and transition support.
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“Saying goodbye to colleagues is never easy,” Winterhoff wrote. “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.”
The company’s financial challenges persist despite support from its largest shareholder, Saudi Arabia’s Public Investment Fund, which expanded a delayed-draw credit facility from $750 million to about $2 billion, improving near-term liquidity. Lucid is due to release its fourth-quarter 2025 results on Feb. 24, 2026.
Deliveries rose about 55% in 2025 to nearly 16,000 vehicles, helped by the first full year of Gravity SUV shipments. However, production volumes remain below levels required for profitability. Lucid is counting on a forthcoming mid-range SUV priced at roughly $48,000 to $50,000 to expand its customer base.
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“Our core priorities remain unchanged, and we continue to focus on the start of production of our Midsize platform,” Winterhoff said, adding that the company is also pursuing opportunities in robotaxi services, advanced driver-assistance software and expansion into new markets.
Source: EVMagz