Uber Technologies Inc (NYSE:UBER, XETRA:UT8) is cutting about 3,300 jobs, or roughly 10% of its global workforce, as the ride-hailing group moves to simplify its management structure and reduce costs.
Chief executive Dara Khosrowshahi told employees the restructuring would remove management layers and streamline divisions, with savings redirected towards future investment.
Uber employed around 34,000 people globally at the end of last year.
Reshaping the business
Khosrowshahi said Uber had expanded rapidly in recent years, creating additional layers and management structures that were no longer suited to the company’s current scale.
The restructuring will also include changes to Uber’s global location strategy, according to the employee memo.
The cuts follow Uber’s decision last month to soften its outlook, increasing pressure on management to improve efficiency while maintaining investment in growth.
Uber shares edged higher in US trading following the announcement.