The Rivian auto plant project in Northeast Georgia was a major issue during the recent GOP primary due to the massive amount of subsidies handed out by the Kemp administration.
In exchange for what Gov. Brian Kemp has touted as the biggest economic development project in Georgia history, state and local economic development agencies will dole out $1.5 billion in incentives including tax credits, a 25-year no-cost lease and $198.1 million in site and road improvements on 1,978 acres, reported the Athens Banner-Herald in May.
Governor Kemp's competitor David Perdue suggested a state-wide tax cut would be much more beneficial for Georgians and small business than huge government financial incentives to lure large corporations to Georgia.
State support to large globalist entities seems to be a hallmark of Brian Kemp's governorship, and a nod to the Chinese Communist Party model, as opposed to reliance on small business and freedom, not to mention fair elections.
Yesterday, Rivian announced massive layoffs as the Biden recession rages across the nation.
“This decision will help align our workforce to our key business priorities, including ramping up the consumer and commercial vehicle programs, accelerating the development of R2 and other future models, deploying our go-to-market programs and optimizing spend across the business,” according to news organizations citing a company statement.
The cost-cutting move is aimed at ensuring the company can continue to grow its manufacturing operations without raising additional funds, according to Rivian CEO Robert Scaringe, in an email to the Wall Street Journal. It reported that the company’s sole manufacturing plant in Normal, Illinois, will not be affected by the layoffs, reported Modern Shipper.
“Over the last six months, the world has dramatically changed with inflation reaching record highs, interest rates rapidly rising and commodity prices continuing to climb — all of which have contributed to the global capital markets tightening,” Scaringe wrote.
Rivian’s stock has steadily lost ground since its first day of trading in November. On Friday, Rivian closed at $34.30 a share, down more than 80% from its high on Nov. 16 of $179.47.