Uber is set to eliminate more than 3,000 jobs globally, affecting approximately 10% of its workforce, as the company restructures to reduce management layers and redirect spending toward its core businesses. The announcement follows Uber's recent exit from Nigeria and Uganda, marking a significant shift in its African operations.
Restructuring to Save Up to $2 Billion Annually
According to a BBC report, the planned layoffs could bring Uber's headcount back to levels last recorded in 2021. The restructuring is among the largest in Uber's recent history, aimed at streamlining operations and making the company "simpler" and "faster," as stated by CEO Dara Khosrowshahi in an email to employees.
Khosrowshahi explained that Uber's rapid growth over the years resulted in too many organisational layers and small teams, which slowed decision-making. The changes are designed to position the company to take advantage of its "biggest opportunities ahead of us" while creating a more efficient organisation.
Job Cuts Affect Managers and Staff, Remote Work Limited
The job cuts will affect both managerial and non-managerial employees, with some smaller teams expected to be merged into larger units. The restructuring is expected to save Uber up to $2 billion annually, according to analysts cited by the BBC.
Uber is also tightening its workplace policy, with almost all employees expected to work from designated offices. Remote positions are reportedly being limited to about 1% of the workforce.
Uber Exits Nigeria and Uganda Amid Africa Reassessment
Following the layoffs, Uber's workforce is expected to fall to just below 30,000 employees, approximately the level recorded before its latest phase of expansion. The restructuring comes shortly after Uber announced its exit from Nigeria and Uganda, as the company reassesses its operations and investment priorities across Africa.
Uber said it would end its services in Nigeria effective September 2, citing "evolving business priorities and investment focus across the continent." The decision marks another major change in Uber's African operations as the global ride-hailing company seeks to concentrate resources on markets it considers more strategically important.
The company is reportedly increasing its focus on autonomous vehicle partnerships while continuing to expand its ride-hailing and delivery businesses, as well as emerging robotaxi operations. These strategic shifts are expected to shape Uber's future growth trajectory.
