Uber plans to lay off about 20% of the company’s employees, based on a report by The Information. The reason is lower demand amidst the coronavirus pandemic.
Executives at Uber are mulling over letting go of 20% of its workers. The coronavirus pandemic hit the ride sharing company. There were fewer customers booking rides due to the implementation of social distancing guidelines.
Meanwhile, Uber Eats, the company’s food delivery arm, reportedly recorded an increase in the food delivery business.
According to The Information, the layoff that Uber is eyeing “could result in more than 5,400 of Uber’s 27,000 employees losing their jobs.”
Uber told USA Today: “The company is looking at every possible scenario to ensure we get to the other side of this crisis in a stronger position than ever.”
The report also takes place as the company announced the resignation of its chief technology officer, Thuan Pham. Uber announced Pham’s departure in a filing with the Securities and Exchange Commission.
“While the work is never done, I feel comfortable hanging up my hat at a time when the Uber Engineering team is at peak productivity. We have built robust system scale and stability, and are well prepared to face the future,” Pham was quoted saying.