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Uber to close its Uber Works staffing operations

May 19, 2020

Uber Technologies Inc. (NYSE: UBER) is looking at closing its Uber Works staffing business, according to Bloomberg. The move was announced in an email by CEO Dara Khosrowshahi. It also comes amid further layoffs at the human cloud firm.

Uber Works operates in Chicago, Miami and Dallas. The company formally launched the Uber Works platform in Chicago last October, although it had been in a pilot phase prior to that. Uber Works announced its Dallas operations in March; Dallas is its most-recently added market.

Uber on Monday announced 3,000 layoffs of full-time employees and that it expects to include approximately $175 million to $220 million in charges in the second quarter. Uber’s board is also forgoing 100% of its pay.

The company had previously announced on May 6 that it would lay off 3,700 full-time employees in its customer support and recruiting teams.

“Given the dramatic impact of the pandemic, and the unpredictable nature of any eventual recovery, we are concentrating our efforts on our core mobility and delivery platforms and resizing our company to match the realities of our business,” Khosrowshahi said in a statement included in Monday’s filing with the US Securities and Exchange Commission.

“That’s led us to some painful decisions today: we are stopping some of our non-core investments and reducing the size of our workforce by around 3,000 people, each of whom I want to personally thank for their contributions to Uber,” he said. “As I said to our teams today, we are making these hard choices now so that we can move forward and begin to build again with confidence.”