EV pioneer Arrival, which has its first micro factory in Bicester, may cut up to 30 per cent of workforce
A reorganisation of Arrival, the aspiring EV business which has a factory at Bicester and another site at Banbury, could mean an up to 30 per cent reduction in its workforce.
The restructuring - the company's response to a challenging economic environment, aims at a 30 per cent cut in spending to help meet its business targets until late 2023 using the $500 million cash on hand.
Arrival said the move will enable it to start production of its Arrival Van in the third quarter as planned.
July 12 (Reuters) - British electric vehicle company Arrival SA said on Tuesday it planned to reorganise its business, which could result in up to 30% reduction in its workforce.
Arrival said the move will enable it to start production of its Arrival Van in the third quarter as planned, sending its shares up 3.4% to $1.51 in extended trading.
The restructuring, which the company said is in response to a challenging economic environment, aims at a 30% cut in spending to help meet its business targets until late 2023 using the $500 million cash on hand.
Arrival, which is listed on the Nasdaq, posted a net loss of $10.4 million in the first quarter. The company is pioneering a unique new method of design and production of affordable electric vehicles by local microfactories, the first of which it opened in Bicester last year. Earlier this month it announced that its Arrival Van has achieved EU certification and received European Whole Vehicle Type Approval (EUWVTA).
Arrival’s zero-emission van is designed to be an environmentally sustainable and economically efficient commercial electric vehicle, compared to traditional vans. It features Arrival’s advanced in-house hardware and software technologies throughout the vehicle to create an elevated connected experience and provide operators with the data and tools they need to optimise the running of a fleet. The vehicle is made from Arrival’s unique lightweight composite materials, which are designed to be recyclable, durable and lower in cost.
Microfactories are expected to have a lower capital expenditure, shorter commissioning time and be more environmentally friendly than traditional methods of production.
Arrival has a 2,700-strong workforce spread across the UK and the rest of the world.