Uber Announces Major Job Cuts Amidst Pandemic
Ride-hailing and delivery giant Uber announced on Wednesday that it is laying off approximately 3,300 employees, which constitutes roughly 10% of its global workforce. This is the company’s largest round of layoffs since the onset of the COVID-19 pandemic.
Uber’s CEO, Dara Khosrowshahi, shared this news in an internal memo. He framed these cuts as part of extensive “significant organizational changes” aimed at making Uber “simpler and faster.” The restructuring will reduce the number of managers by 20%, eliminate small teams of one or two members by 50%, and cut employees sitting more than seven layers from the CEO.
As part of the overhaul, the company is also consolidating its engineering, science, and delivery divisions. It is requiring employees to return to the office, with only 1% of staff permitted to work remotely going forward. Uber will also cease operations in Nigeria and Uganda.
According to analysts at Wedbush Securities, the restructuring will save Uber approximately $1.75 billion. The company plans to reinvest this capital into high-growth areas, including its autonomous vehicle and robotaxi ambitions. Despite being down 8% for the year overall, Uber’s stock rose more than 1.6% on the day of the announcement.
Interestingly, this move comes even as Uber posted strong revenue of $14.2 billion in Q2 2026, a 12% year-on-year increase. This underscores that the cuts are strategic rather than driven by financial distress.
Source: TechCrunch – Uber is laying off 10% of staff, or 3,300 people