Electric van maker Arrival has announced plans to reduce its workforce once again as part of ongoing cost-cutting measures. In a letter to investors, the company revealed that it had taken action on October 5 to “further reduce” costs, which includes letting go of up to approximately 25% of its employees. Arrival had previously announced layoffs in January of this year, with a 50% reduction in its workforce. The exact number of employees to be affected this time has not been disclosed.
Arrival is involved in various areas of electric vehicle development, including vans, buses, and cars for ride-hailing drivers. However, the company has not yet introduced any commercial vehicle launches. After going public through a merger with a special purpose acquisition company in 2021, Arrival has undergone several restructuring efforts and shifted its focus from the U.K. market to the U.S. This move was made to take advantage of subsidies for commercial vehicle purchases under the Inflation Reduction Act.
Arrival had received approval for job development credits in South Carolina in 2022, as the company announced its factory in York County. However, the exact details and value of these credits were not disclosed in the letter from the state’s Commerce Department.
As for its current status, Arrival has not provided a quarterly update since its first-quarter results in May. The company has also recently downsized its North American headquarters in Charlotte, North Carolina.
