Uber cuts 200 recruiters in cost-saving move

Uber

Uber is reducing costs by laying off 200 recruiters as it faces tougher economic conditions.

The company informed employees through an internal email sent on Wednesday, June 21. 

The affected positions account for about 35 percent of Uber’s recruiting team, representing less than one percent of the total staff. 

Read More: Lyft to cut 1,000 jobs after CEO change

This latest round of cuts follows smaller reductions across various departments within the company. 

In total, including the recent layoffs, the downsizing at Uber amount to less than one percent of its workforce.

Uber clarified these layoffs are part of an effort to align the size of its Talent Acquisition team with the hiring strategy and ensure ongoing success. 

CPO Nikki Krishnamurthy said: “With attrition being low, the size of the Talent Acquisition team needs to be rightsized to our hiring strategy and set the business up for ongoing success.”

Unlike some of its competitors, Uber has not made significant workforce reductions. 

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Last year, it announced a more cautious approach to hiring, and CEO Dara Khosrowshahi indicated a plan to maintain or decrease headcount in the coming quarters.

In comparison, Lyft, Uber’s ride-sharing rival, has recently cut more than 30 percent of its staff

Other players in the food-delivery industry, such as Grubhub and DoorDash, have also implemented workforce reductions.

Tech companies with extensive global operations have seen even larger workforce reductions. 

Meta Platforms, the parent company of Facebook, has cut over 20 percent of its staff, resulting in more than 20,000 job losses.

Despite the challenges posed by the COVID-19 pandemic, Uber’s food-delivery business experienced growth, and its ride-sharing business rebounded after initial setbacks.

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