Uber Announces Major Workforce Reduction Amid Growth as It Shifts Focus to Autonomous Vehicles
Uber announced a significant workforce reduction of 3,300 employees—about one-tenth of its global staff—as part of an organizational restructuring aimed at streamlining operations and accelerating innovation. CEO Dara Khosrowshahi emphasized that the cuts are not due to economic downturns or declining performance but rather because Uber has grown too large in certain areas, leading to inefficiencies. The company is simplifying its structure by reducing layers of management, cutting micro-teams, and consolidating delivery operations across sectors. The restructuring aligns with a broader strategic shift toward autonomous vehicles (AVs), which Khosrowshahi described as one of Uber’s largest opportunities in history. The savings from the layoffs will be reinvested into growth initiatives and AV development. Uber plans to commit $10 billion over time to bring 120,000 self-driving cars onto its network through partnerships with companies like Rivian, Baidu, and Pony.ai. Uber’s shares rose by 1.61% following the announcement as investors appeared supportive of the strategic realignment.
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Topics: layoffs restructuring robotaxi Uber