&imwidth=800&imheight=600&format=webp&quality=medium "Biggest layoffs since COVID: Uber to cut 3,300 jobs as company restructures for the robotaxi era")
Uber is cutting about 3,300 jobs, or roughly 10% of its global workforce, in the company’s biggest round of layoffs since the Covid pandemic.
The ride-hailing giant says it wants to remove layers of management, simplify its organisation and make faster decisions. The move comes as Uber prepares for a future increasingly shaped by robotaxis and autonomous driving. The cuts are striking because Uber is not currently describing a business in crisis. In its latest quarter, the company reported 22% year-on-year growth in gross bookings and said its trailing 12-month free cash flow had crossed $10 billion for the first time.
Why is Uber cutting 3,300 jobs?
CEO Dara Khosrowshahi said Uber had become a much larger company, but that growth had also created more layers, coordination and fragmented ownership.
The restructuring will reduce the number of managers by about 20%. Uber will also cut the number of very small teams and combine some engineering, science and delivery operations.
The company is also reducing the number of employees working remotely.
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Fewer than 1% of its workforce will be allowed to work fully remotely, while Uber will continue its three-day office policy. Unlike several major technology companies, Khosrowshahi did not blame artificial intelligence for the job cuts. Instead, he said a leaner organisation would create savings that could be reinvested in growth, innovation and future capabilities.
Uber is betting heavily on robotaxis
The timing of the layoffs is important.
Uber is trying to position itself as a major marketplace for autonomous rides as robotaxis expand in the US. The company has been working with autonomous vehicle firms, including Waymo, whose driverless cars are available through Uber in some cities. But Waymo is also expanding independently, while Tesla is pushing deeper into robotaxis. That has raised questions about whether driverless cars could eventually reduce Uber’s role as the middleman between passengers and drivers. Uber has said it plans to invest more than $10 billion in robotaxis over the coming years.
Biggest Uber layoffs since Covid
The 3,300 job cuts are Uber’s largest since May 2020, when the pandemic devastated demand for rides and forced the company to eliminate about 6,700 positions.
Uber had roughly 34,000 employees globally at the end of last year. The latest restructuring therefore marks a very different moment. Uber is cutting jobs while its core business is growing strongly. The company is effectively trying to become leaner before the next phase of transport arrives one in which autonomous vehicles could change how its entire platform operates.
