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Uber to cut 10% of workforce as it restructures

Uber is eliminating roughly a tenth of its staff as it reduces management layers, consolidates teams and shifts more work into hubs such as New York and San Francisco.

Markets Desk·
Uber to cut 10% of workforce as it restructures (illustrative image)

Uber has said it will cut about 10% of its workforce as part of a broader restructuring aimed at making the company leaner and reducing costs. Chief executive Dara Khosrowshahi described the changes as an effort to simplify the organisation and speed up execution, while freeing up resources for future investment.

Management layers get trimmed

The company is targeting the layers of supervision that have built up as it has expanded. Uber plans to reduce the number of very small teams and trim the share of staff who sit several levels below the chief executive, in a move that is meant to sharpen accountability and shorten decision chains.

Khosrowshahi said Uber has become too large for some of its existing structures and that the business needs a model that works better at its current scale. He framed the shift as a way to remove unnecessary coordination and make day-to-day operations more direct.

Uber concentrates teams in hubs

The restructuring also includes combining more teams and moving a larger share of staff into key offices such as New York and San Francisco. Uber will still allow a small portion of employees to work remotely, but the company is largely leaning toward a more centralised operating model.

Khosrowshahi did not link the job cuts to artificial intelligence, even though AI has been behind a number of recent tech layoffs across the industry. The message from Uber was instead focused on management efficiency, cost control and faster internal execution.

For markets, the move fits a wider pattern among large technology companies that are trying to do more with fewer layers of management. It also signals that Uber is still working to balance growth ambitions with discipline on overhead at a time when investors remain focused on profitability and operating leverage.

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Frequently asked questions

How many jobs is Uber cutting?

Uber said it will reduce its workforce by about 10%.

Why is Uber making the changes?

The company says it wants to become simpler and faster, cut costs and create more room to invest in future growth.

Is Uber saying artificial intelligence caused the layoffs?

No. Khosrowshahi did not attribute the cuts to AI.

Sources

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