Uber to Cut 3,300 Jobs as Company Restructures

Uber is cutting roughly 3,300 jobs worldwide as the ride-hailing company looks to simplify its organization and put more resources into key growth areas, including ride-sharing, delivery and robotaxis.

The layoffs represent about 10% of Uber’s global workforce. CEO Dara Khosrowshahi announced the changes in an internal email that was published online Wednesday. Bloomberg was the first to report the layoffs.

The restructuring is largely focused on reducing management layers across the company. According to Khosrowshahi’s email, Uber plans to reduce its number of managers by about 20%. Some employees currently working in management positions will instead move into individual contributor roles.

Uber Wants a Simpler Company Structure

The company has grown significantly in recent years, expanding its products, services and customer base. But that growth has also created a more complicated internal structure, according to Khosrowshahi.

Uber plans to reduce the number of teams made up of just one or two employees by 50%. The company is also expected to eliminate positions for employees who are more than seven management layers below the CEO.

The restructuring will also bring several business groups together. Uber plans to combine its engineering, science and delivery divisions as part of the organizational changes.

Its delivery operations are also being consolidated. Restaurant, retail and direct delivery operations will be brought together under a more unified structure.

Remote Work Will Become Rare at Uber

Uber is also making a major change to its remote-work policy.

Following the restructuring, fewer than 1% of Uber employees will be allowed to work remotely. That means remote positions at the company are expected to become extremely limited as Uber moves toward a more office-based workforce.

Khosrowshahi explained that Uber’s rapid expansion has resulted in more management layers, additional coordination and fragmented ownership across different parts of the business.

The CEO argued that some of these organizational structures may have worked when Uber was smaller but no longer make sense at the company’s current size.

Focus on Rides, Delivery and Robotaxis

While the layoffs are intended to reduce complexity and management overhead, Uber is also looking to direct more resources toward its major growth businesses.

The company continues to invest in its core ride-sharing and delivery operations while also expanding its ambitions around autonomous vehicles and robotaxi services.

The restructuring is therefore designed not only to reduce headcount but also to make it easier for Uber to focus on these businesses.

Uber has not yet publicly provided additional details about the employees affected beyond the information outlined in Khosrowshahi’s internal communication.

The company also did not immediately respond to TechCrunch’s request for comment regarding the layoffs.

The job cuts mark another significant restructuring for Uber as it attempts to operate more efficiently while investing in new areas that could shape the company’s next phase of growth.

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