Uber To Cut 10% Of Global Workforce In Major Restructuring, 3,300 Jobs To Go

Uber plans to cut about 10% of its global workforce, eliminating around 3,300 corporate jobs as part of a major restructuring aimed at simplifying its operations. Chief Executive Officer Dara Khosrowshahi told employees on Wednesday that the restructuring would create a “simpler and faster” business by reducing management layers, merging teams and changing organisational structures. The US-based ride-hailing company also plans to bring more employees back to the office.

Uber plans to cut about 10% of its global workforce, eliminating around 3,300 corporate jobs as part of a major restructuring aimed at simplifying its operations.

Chief Executive Officer Dara Khosrowshahi told employees on Wednesday that the restructuring would create a “simpler and faster” business by reducing management layers, merging teams and changing organisational structures. The US-based ride-hailing company also plans to bring more employees back to the office.

The San Francisco-headquartered company has not disclosed how many jobs will be affected at individual locations, including London. Employees affected by the cuts have been notified, although the process will vary in some countries based on local requirements.

Biggest Job Cuts At Uber Since 2020

The latest layoffs are Uber's largest since 2020, when the company cut 6,700 jobs after the Covid pandemic caused a sharp decline in rides.

Khosrowshahi said Uber had grown over the past five years and continued to perform well, but the expansion had made its organisational structure more complex.

“But that growth has also brought complexity: more layers, more coordination, more fragmented ownership, and in some cases structures that made sense when businesses were smaller but no longer serve us well at our current scale,” he said.

“The changes we’re making today are designed to do two things: make Uber simpler and faster, and create more capacity to invest in our future.”

The restructuring includes combining operational and technology teams. Uber also plans to reduce by nearly 50% the number of “micro-teams” in which one or two employees report to a single manager.

The company has also cut by 20% the number of employees who are more than seven organisational layers away from the Chief Executive Officer.

New York City Halts AI Use In Elementary, Middle Schools For One Year Under Mamdani Administration

Uber Tightens Work-From-Office Policy

Uber is also asking the majority of its employees to work from an office, leaving fewer than about 1% of staff working remotely.

The move reinforces the company's hybrid working policy, which requires employees to work from the office three days a week.

“The decisions we’re making today are difficult, but they will help us build an even stronger Uber for the years ahead,” Khosrowshahi said.

Also Watch:

Uber Expands Self-Driving, Food Delivery Businesses

The restructuring comes as Uber prepares to launch self-driving taxis on UK roads for the first time after partnering with robotaxi company Wayve and receiving approval from Transport for London last month.

The company plans to invest $10 billion in developing its autonomous vehicle business as it seeks to expand its presence in the emerging self-driving market.

Uber also recently struck a $14.8 billion deal to acquire German company Delivery Hero as it seeks a stronger position in the global food delivery market. Its Uber Eats service faces intense competition from rivals such as DoorDash.

Launched in San Francisco in 2010, Uber expanded rapidly and is now valued at more than $150 billion.

Comments

Y
Loading...