The cuts come simply 5 months after Redwood reduce 5% of its workforce<\/a>, and three months after it closed a $425 million funding spherical that boosted the battery-recycling firm\u2019s valuation to north of $6 billion, as TechCrunch beforehand reported<\/a>.<\/p>\n

It\u2019s been a troublesome time within the battery trade currently. Earlier this month, battery recycler Ascend Components filed for Chapter 11 chapter safety<\/a>, citing \u201cinsurmountable\u201d monetary challenges. Some battery makers have additionally restructured or gone out of enterprise because the automotive trade within the U.S. has backed away from its most optimistic and bold plans to transition to electrical autos.<\/p>\n

However Redwood Supplies founder and CEO JB Straubel informed workers that this new spherical of cuts isn’t an indication that the corporate is heading down the identical path. <\/p>\n

\u201cRedwood in the present day is the strongest it\u2019s ever been,\u201d Straubel wrote in an electronic mail to the employees who weren\u2019t laid off, in line with a replica considered by TechCrunch. \u201cThe supplies enterprise is effectively on its solution to profitability and has an thrilling roadmap forward.\u201d <\/p>\n

Straubel famous that Redwood \u201cproceed[s] to dominate the US battery recycling market\u201d but in addition touted the corporate\u2019s \u201cnice momentum\u201d in its new vitality storage enterprise<\/a>. Redwood has just lately introduced offers with Crusoe AI and, most just lately, electrical automaker Rivian to offer recycled batteries that can be utilized to energy these firms\u2019 services. The corporate declined to remark past the contents of Straubel\u2019s electronic mail.<\/p>\n

In his message, Straubel wrote that \u201celements of the corporate have expanded quicker than wanted to help the route\u201d of Redwood. Consequently, he stated Redwood is making cuts throughout a number of divisions, together with the engineering and operations organizations, in line with an worker who was granted anonymity to debate the layoffs.<\/p>\n

Techcrunch occasion<\/p>\n

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\u201cWe’re assured that we are able to ship on our important initiatives with a smaller crew that’s extra targeted,\u201d he wrote. \u201cWe now have efficiently tailored to adjustments available in the market which have bankrupted a lot of our opponents.\u201d <\/p>\n

Straubel went on to jot down that he’s \u201cextra excited than ever with our path forward as we construct probably the most built-in and cost-effective important supplies and vitality storage enterprise on the earth.\u201d <\/p>\n

\u201cIt is a self-sustaining enterprise and can proceed to make this firm extra useful over time. We now have the crew and the expertise to do what no different firm can,\u201d he wrote. <\/p>\n

Employees who had been laid off had been informed by Redwood\u2019s chief HR officer that the layoffs had been made \u201cto sharpen our focus, our work and the scale of our groups to help the route Redwood goes sooner or later,\u201d in line with a replica of her electronic mail, which was considered by TechCrunch.<\/p>\n

Staff who had been laid off are receiving severance and paid well being advantages, in line with Straubel\u2019s electronic mail, in addition to \u201cprofession transition help.\u201d <\/p>\n

\u201cI’m grateful to the roughly 135 workers who we are saying goodbye to in the present day \u2014 they\u2019ve all contributed to constructing Redwood,\u201d he wrote. <\/p>\n<\/div>\n

If you buy via hyperlinks in our articles, we might earn a small fee<\/a>. This doesn\u2019t have an effect on our editorial independence.<\/em><\/p>\n\n","protected":false},"excerpt":{"rendered":"