Uber To Cut Over 3,000 Jobs Amid COVID-19 Pandemic

Uber To Cut Over 3,000 Jobs Amid COVID-19 Pandemic

Uber shares opened 3% lower on Wednesday (Representational)

Uber Technologies Inc will cut about 3,700 full-time jobs and Chief Executive Officer Dara Khosrowshahi will forgo his base salary for the remainder of the year, the company said on Wednesday, as the COVID-19 pandemic decimates its ride-hailing business.

The company said the layoffs included its customer support and recruiting teams, and expects to incur about $20 million in costs for severance and related charges.

Uber and rival Lyft have already withdrawn their full-year financial outlooks as demand for app-based rides dropped sharply across the world after governments imposed stay-at-home orders to curb the transmission of the coronavirus.

But Uber, which operates in more markets around the world than Lyft, could recover some lost revenue with its food delivery business.

On Monday, Uber’s Middle East business Careem said it was cutting 536 jobs this week, representing 31% of the Dubai-headquartered company’s workforce.

Lyft will report its quarterly results on Wednesday after market hours and Uber is expected to report earnings on Thursday.

Uber shares opened 3% lower on Wednesday.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

Source: https://www.ndtv.com/world-news/coronavirus-outbreak-uber-to-cut-over-3-000-jobs-amid-covid-19-pandemic-2224426