Uber is laying off 10% of its staff as it seeks to cut management layers. Read the CEO's memo.

Nairavoice | 5h ago 155 0 5 min read
Uber is laying off 10% of its staff as it seeks to cut management layers. Read the CEO's memo.

Uber is laying off 10% of its corporate staff, joining other tech firms in cutting management layers.

The ride-hailing company’s move will eliminate roughly 3,300 positions, the company said on Wednesday.

The job cuts focused on management and coordination roles, CEO Dara Khosrowshahi wrote in a memo to staff.

While Uber’s recent financial results have largely surpassed analysts’ expectations, the company has become more complex over the last five years, Khosrowshahi wrote. “We have reduced roles primarily focused on coordination, and have clarified the remit of the coordination roles that remain,” he wrote.

Uber “also cut down the number of management layers by broadening manager scopes,” Khosrowshahi wrote.

The layoffs were earlier reported by Bloomberg News.

The layoffs are the latest example of a tech company taking aim at managers’ jobs to save money.

From Meta to Coinbase, other companies have either cut back on such roles or asked managers to start producing themselves — often with help from AI.

Uber’s Wednesday announcement did not mention AI.

Khosrowshahi did, however, point to examples of cutting management layers, from combining teams responsible for its delivery business to eliminating about half of teams with one or two direct reports — a setup that Uber calls a “micro-team.” Uber is also asking almost all its employees to return to working in an office at least three days a week, Khosrowshahi wrote.

Less than 1% of Uber’s corporate workforce will remain remote, he added.

The layoffs are the latest round of job cuts for Uber, which eliminated roles in customer service and HR earlier this year.

In July, the company laid off 10% of its customer service team, citing increased use of AI.

Read the memo that Khosrowshahi sent to Uber employees: Team, Today, we’re making a number of significant organizational changes across Uber.

We are removing layers, simplifying team structures, refining our global location strategy, and focusing our people and investments against the biggest opportunities ahead of us.

As a result, we will be reducing the size of our team by about 10%.

Everyone whose role has been affected has already been notified, except in countries where we will follow the required local process.

This wasn’t a decision we made lightly, because it will have a real impact on our teammates and friends who have worked hard for Uber.

It’s important to say that these changes are about how we’re organized and what we’re prioritizing, not about anyone’s contributions to Uber, which we will always value.

I’m sure you’re asking, ‘Why, and why now?’—particularly since our business is performing so well.

Over the last 5+ years, Uber has grown by orders of magnitude, with our top line nearly tripling.

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We’ve built new products, expanded into new businesses, reached more consumers and supported more earners, and become a much larger and stronger company.

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.

Our opportunity from here is enormous: we have the chance to bring Uber to hundreds of millions more people; to invest even more in drivers, couriers and merchants; and to innovate across our core businesses and build the autonomous future.

To do those things, we need to make deliberate choices about where we put our people, our time, and our capital.

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.

A leaner organization will mean clearer ownership, faster decisions, and more time spent building rather than coordinating.

It will also generate savings that we intend to reinvest in growth, innovation, and the capabilities that will matter most over the coming years.

It’s our job as leaders to make these difficult calls, and to give you transparency into our thinking and our decision-making process.

Here’s what we are doing and why: I realize this is a lot of change, but we decided it was better to make one big shift rather than multiple small ones.

We also know organizational changes can be hugely distracting, and our job is to create an environment that allows you to focus and do your best work.

With these decisions now made, our focus is on the future.

We have tremendous momentum, significant financial capacity, and opportunities in front of us that are larger than at any point since I joined the company.

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

You can read more about the changes across the company here, and please be sure to read specific follow-up information you’ll receive from your leaders about what this means for your team, so we can all keep building together.

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