Lucid Group will cut roughly 18% of its U.S. workforce as part of ongoing restructuring efforts, including eliminating the chief operating officer position. The electric vehicle maker announced the layoffs on Monday, affecting full-time employees, contractors and hourly production workers across the organization.

The restructuring aims to reduce costs by approximately $158 million annually while aligning production capacity with anticipated demand. Marc Winterhoff, who held the COO role, will depart the company and receive severance benefits. Lucid expects to record roughly $32 million in cash charges related to severance payments and employee transition costs.

These cuts reflect Lucid's struggle to scale production and achieve profitability in the competitive EV market. The company has faced challenges meeting delivery targets while managing significant operating expenses. The layoffs signal continued pressure on the automaker to streamline operations and become cash-flow positive as competition intensifies.