Uber To Cut 200 Jobs In Recruitment Division
In a move to streamline costs and maintain a flat staff count, Uber Technologies will reduce 200 jobs in its recruitment division. The decision, affecting less than 1 per cent of Uber's global workforce, comes as the ride-sharing giant seeks to optimise operations amid ongoing challenges.
The job cuts in the recruitment division account for approximately 35 per cent of Uber's recruiting team, according to sources cited by the Wall Street Journal, which first reported the development. This move follows Uber's previous layoff of 150 employees in its freight services division earlier this year.
While Uber had experienced a 17 per cent reduction in staff count at the beginning of the pandemic in mid-2020, the recent job cuts have been relatively smaller compared to its chief competitor, Lyft. Lyft, under the leadership of new CEO David Risher, previously laid off around 26 per cent of its workforce in April and roughly 700 employees late last year, aiming to safeguard margins in the fierce competition with Uber.
Uber, however, remains optimistic about its financial outlook. The company announced in May that it is on track to achieve operating income profitability this year. Additionally, Uber stated its intention to maintain a flat workforce after a sequential decline in headcount during the March quarter.
