Uber Cuts 10 Per Cent of Workforce, Shifting Focus Towards Robotaxis

Uber Technologies is taking a major step to streamline its organisation. The US-based ride-hailing company will carry out layoffs affecting approximately 3,300 employees, or 10 per cent of its total global workforce.

This decision is part of a corporate restructuring aimed at simplifying the organisational structure, reducing management layers, and accelerating decision-making processes. Uber CEO Dara Khosrowshahi communicated this policy via an internal memo to employees, noting that the company’s growth in recent years has made the organisational structure increasingly complex, necessitating a realignment.

Cutting 20 Per Cent of Managerial Positions

Uber’s restructuring does not only target the total number of employees. The company also plans to reduce approximately 20 per cent of managerial positions. Several teams with overly small structures or overlapping functions will be merged. This move is expected to simplify coordination and provide clearer responsibilities for each team.

Uber also intends to reduce bureaucratic layers so that strategic decisions can be made more rapidly. The company noted it has approximately 34,000 employees globally as of the end of 2025. Consequently, the reduction of around 3,300 positions represents one of Uber’s largest layoffs since the Covid-19 pandemic.

Focus on Business and Robotaxis

Behind this restructuring, Uber is preparing a strategy to face changes in the transport industry, particularly the increasing competition from autonomous vehicles, or robotaxis. Uber plans to allocate more than US$10 billion towards investment in autonomous vehicle technology over the next few years. The company also faces competition from players such as Waymo and Tesla in this sector.

Notably, Uber’s CEO emphasised that these layoffs are not solely due to the use of Artificial Intelligence (AI). The primary focus is to make the organisation leaner and to shift resources towards growth opportunities.

Remote Work Policies Tightened

The restructuring is accompanied by changes in working patterns. Uber will tighten its remote work policy, with the majority of employees requested to return to the office at least three days a week. Moving forward, it is estimated that less than 1 per cent of employees will remain entirely remote. Global operations will also be more concentrated in several key hubs, including New York and San Francisco.

Uber’s move demonstrates how technology and mobility companies are beginning to reorganise after experiencing significant growth. For Uber, efficiency is not merely about cutting the number of workers, but also serves as a way to create investment space for future businesses, including autonomous vehicles.