The corporate additionally didn’t inform traders that its chief working officer, Rod Copes, a Harley-Davidson veteran, left the corporate final yr. Public corporations and people within the means of itemizing their shares usually disclose the departures of high executives. The information was first reported by The Wall Avenue Journal.
Perceive the Provide Chain Disaster
Ms. Mast stated Mr. Copes had a “phased transition from Rivian in fall 2021, previous to the I.P.O.,” and retired in December, after the providing.
Mr. Copes, 55, stated in an interview that he didn’t depart Rivian due to considerations about his efficiency or as a result of there have been issues with manufacturing. He stated that he had achieved key objectives and that the constructions had been in place for Rivian’s ramp-up in manufacturing. “It was a easy and seamless transition,” Mr. Copes stated.
However company governance specialists assume Rivian should have disclosed his impending departure to traders in the course of the I.P.O., given his senior position. “In the event that they knew he was leaving, the optimum disclosure would have been to establish their C.O.O. however point out that he was leaving,” John C. Espresso Jr., a professor at Columbia Legislation Faculty, stated in an e mail.
In response to one former govt, Rivian has a poor administration tradition.
The manager, Laura Schwab, stated she was fired final yr from a high-ranking gross sales and advertising place after expressing considerations about what she referred to as the “boys’ membership tradition” and “gender discrimination” on the firm. She filed a lawsuit in state court docket in California accusing Rivian of violating the state regulation prohibiting employment discrimination and retaliation.
Ms. Schwab stated she had been a part of 30 automobile introductions in prior auto business jobs, together with at Aston Martin and Jaguar Land Rover. Quickly after arriving at Rivian, she stated, she felt compelled to precise considerations that the corporate was in peril of lacking supply targets.
“The manufacturing line doesn’t go from zero to hundreds of automobiles in a single day; it simply doesn’t work that method,” she stated.