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EV maker ELMS to lay off about 24% of employees

EV maker ELMS to lay off about 24% of employees
EV maker ELMS to lay off about 24% of employees   -   Copyright  Thomson Reuters 2022
By Reuters

– U.S. commercial electric vehicle maker Electric Last Mile Solutions Inc (ELMS) will lay off about 24% of its staff as it looks to focus on its core business and become leaner, the company disclosed in a regulatory filing on Friday.

The plan to terminate 50 employees was approved on Feb. 21, according to the regulatory filing https://www.sec.gov/ix?doc=/Archives/edgar/data/1784168/000121390022010757/ea156449-8k_electric.htm.

The company, which is struggling with production due to supply chain hurdles, said on Feb. 1 that its top two executives, Chief Executive James Taylor and Chairman Jason Luo, had resigned following an investigation into their share purchases.

The company had also said it would restate financial statements as of Dec. 31, 2020 and the nine months ended Sept. 30, 2021.

Since the resignation of the executives, the Troy, Michigan-based company’s stock has tumbled about 68%.