Abu Dhabi, UAEMonday 25 May 2020

Uber to cut 3,000 more jobs

The redundancies are in addition to the 3,700 announced earlier this month

An Uber logo in a car in Washington, DC. Uber earns two-thirds of its revenue from Canada and the US, where rides have dropped by 80 per cent in recent weeks as stay-at-home directives have been enforced to stop the spread of the coronavirus pandemic. AFP
An Uber logo in a car in Washington, DC. Uber earns two-thirds of its revenue from Canada and the US, where rides have dropped by 80 per cent in recent weeks as stay-at-home directives have been enforced to stop the spread of the coronavirus pandemic. AFP

Uber Technologies Inc will cut about 3,000 jobs, in addition to the 3,700 it had announced earlier this month, as coronavirus-led restrictions sap demand for ride-hailing services, chief executive Dara Khosrowshahi said in an email to employees on Monday.

The ride-hailing business has suffered a near-total collapse as large parts of the United States and the rest of the world shut to combat the spread of the virus.

Almost two-thirds of Uber’s revenue is generated in the United States and Canada, where stay-at-home orders were issued in the middle of March. The company said trip requests plummeted 80 per cent globally in April, but were slowly recovering.

Mr Khosrowshahi also said the company would wind down its office in Singapore within the next year and move to a new “hub” in the Asia-Pacific region.

Uber would also close down about 45 of its offices, including one in San Francisco.

The company, which is also in talks with GrubHub Inc to reinforce its food delivery business, said it plans to reduce investments in several non-core projects. Last week, it led a $170m investment into scooter firm Lime, divesting its Jump e-bike business as part of the deal.

Updated: May 18, 2020 08:09 PM

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