Uber Set to Fire 3,000 Workers Globally After Shutting Down Operations in Nigeria, Uganda
- Uber plans to cut more than 3,000 jobs globally, affecting about 10% of its workforce
- The company says the restructuring will reduce management layers, speed up decision-making and save up to $2 billion annually
- The layoffs come as Uber exits Nigeria and Uganda and increases its focus on autonomous vehicles, ride-hailing and delivery services
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Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
Uber is set to eliminate more than 3,000 jobs worldwide as part of a broad restructuring aimed at reducing management layers, streamlining operations and redirecting spending towards its most important businesses.
According to a BBC report, the planned layoffs represent about 10% of the company’s global workforce and could take Uber’s headcount back to levels last recorded in 2021.
Source: UGC
Uber CEO Dara Khosrowshahi explained in an email to employees that the company had grown rapidly over the years, resulting in too many organisational layers and small teams that made decision-making slower.
He said the restructuring would position the company to take advantage of its “biggest opportunities ahead of us” while creating a simpler and more efficient organisation.
Uber Targets Leaner Operations
The job cuts will affect both managerial and non-managerial employees, with some of the company’s smaller teams expected to be merged into larger units.
Khosrowshahi said the changes were designed to make Uber “simpler” and “faster”, while releasing funds that could be channelled into areas considered critical to the company’s future growth.
The restructuring is among Uber’s biggest in recent years and signals a move towards a leaner corporate structure.
The company is reportedly increasing its focus on autonomous vehicle partnerships while continuing to expand its ride-hailing and delivery businesses, as well as emerging robotaxi operations.
Uber is also tightening its workplace policy, with almost all employees expected to work from designated offices. Remote positions are reportedly being limited to about 1% of the workforce.
Analysts cited by the BBC estimate that the restructuring could save Uber as much as $2 billion annually.
Job Cuts Come Amid Africa Exit
Following the layoffs, Uber’s workforce is expected to fall to just below 30,000 employees, approximately the level recorded before its latest phase of expansion.
The restructuring also comes shortly after Uber announced its exit from Nigeria and Uganda as the company reassesses its operations and investment priorities across Africa.
Source: Getty Images
Uber said it would end its services in Nigeria effective September 2, citing “evolving business priorities and investment focus across the continent”.
The decision marks another major change in Uber’s African operations as the global ride-hailing company seeks to concentrate resources on markets and businesses it considers more strategically important.
Branch lays off staff in Nigeria, Kenya
In a related news, Legit.ng earlier reported that digital lender, Branch, reduced its workforce in Nigeria and Kenya despite reporting profitability.
Employees were informed of the sack before receiving immediate termination notices.
The fintech firm said the cuts were not linked to financial distress, and will pay at least four months of compensation.
Source: Legit.ng
