Uber is laying off 10% of its global workforce.
The company took this decision to “remove layering” and simplify “team structures”, according to a memo sent to the employees by CEO Dara Khosrowshahi.
He continued that the decision would steer the company more towards building rather than just managing. The CEO said that the reduction of nearly 3,300 positions will help the company to invest more in drivers, couriers and merchants.
Location strategy: The benefits of sitting together, collaborating in person, and solving problems as a team are clearer than ever in our post-Covid world. With that in mind, we’re establishing clearer principles for where roles and teams should be based, with the goal of concentrating teams in a smaller number of key hubs. Global teams will be concentrated in our largest global hubs, NY and SF; regional teams in designated regional hubs; local teams in country hubs; and tech teams in tech hubs. We’ll also continue to reinforce compliance with our hybrid work policy, which requires three days a week in the office. You can read more about our location strategy here.
We are also asking the vast majority of remote employees to move to an office, and going forward, only ~1% of employees will be remote.
We’ll prioritize co-location between managers and their teams wherever possible, particularly for earlier-career employees.
As a result, we will be reducing the size of our team by about 10%. We are removing layers, simplifying team structures, refining our global location strategy, and focusing our people and investments against the biggest opportunities ahead of us. Everyone whose role has been affected has already been notified, except in countries where we will follow the required local process. Team simplification: We brought together teams where fragmentation was creating duplication and slowing decisions. The most significant example of this is Mac’s decision to combine our three current Delivery Ops teams (across Restaurants, Retail, and Direct) into single-threaded teams at the global, regional, and country levels. Running these three businesses separately made sense in their early days, but that structure is no longer serving us at scale. Bringing the P&Ls together under single owners will reduce overlap, clarify accountability, and allow GMs to allocate capital more efficiently and effectively based on their strategic imperatives. Another example of this: in Tech, we’re combining our Core Services Engineering and Science teams, mirroring the structure we already have on Mobility and Delivery. You can read more about the changes across the company here, and please be sure to read specific follow-up information you’ll receive from your leaders about what this means for your team, so we can all keep building together.
Team, Today, we’re making a number of significant organizational changes across Uber.
