May 06, 20 - 12:59 pm - LABS

Uber cuts 3,700 full-time employees, 14% of its workforce

Global ride-hailing giant Uber announced this Wednesday, 6, that is laying off 3,700 full-time employees. In a filing with the Securities and Exchange Commission, the company said it would reduce its customer support and recruiting teams due to lower trip volumes and the current hiring freeze.

As the business remains struggling with the uncertainty brought by the COVID-19 pandemic, Uber CEO Dara Khosrowshahi will forgo his salary for the rest of the year, the company also announced.

In connection with the foregoing, Dara Khosrowshahi, the Company’s Chief Executive Officer, after consultation with the Board of Directors, agreed to waive his base salary for the remainder of the year ending December 31, 2020.

Uber’s filing with the Securities and Exchange Commission

Uber said it will incur about $20 million related to severance and other termination benefits, adding that the company is evaluating other costs. Earlier this week, Uber Eats division has left seven markets: Uruguay, Czech Republic, Egypt, Honduras, Romania, Saudi Arabia, and Ukraine.