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Dara Khosrowshahi announces Uber will lay off 10% of its workforce to simplify management and reduce costs.

Dara Khosrowshahi, the Chief Executive of Uber, announced that the company will cut 10% of its workforce, totaling approximately 3,300 jobs. These layoffs represent the company's largest round of cuts since 2020. The move is intended to consolidate management layers, trim costs, and create more capacity for future investments, such as the commitment of more than $10 billion to autonomous vehicles. To achieve this, Uber is flattening its management structures by cutting small teams and trimming employees who are seven steps away from the CEO by 20%. The company is also concentrating employees in hubs like New York and San Francisco, while allowing only about 1% of corporate employees to continue working remotely. Khosrowshahi stated that the company's rapid growth over the last five years has created complexity that no longer serves the company at its current scale. The layoffs are part of a broader strategy to create a leaner organization with clearer ownership and faster decision-making.

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