A major restructuring is underway at Uber Technologies, with the company planning to eliminate about 3,300 jobs globally, or roughly 10 per cent of its workforce.
Chief Executive Officer, Dara Khosrowshahi, announced the cuts in an email to employees, saying Uber’s rapid growth over the past five years had created unnecessary management layers and fragmented responsibilities.
The restructuring is expected to reduce management positions by about 20 per cent, while some managers will transition to individual contributor roles. Non-management staff will also be affected.
Uber will also streamline its operations by cutting nearly half of its small “micro-teams” and reducing the number of employees seven or more levels below the CEO by 20%.
The company is consolidating its delivery operations across restaurants, retail and direct delivery to improve accountability and speed up decision-making.
The restructuring comes as Uber shifts more resources towards growth and autonomous transportation, with the company committing more than $10 billion to robotaxi partnerships in the coming years.
Uber has also increased investments in autonomous vehicle firms, including Lucid Group, Nuro, Rivian and Avride, while reducing some other investments.
The latest job cuts follow earlier reductions in Uber’s customer service and human resources divisions.
