Uber is limiting fully remote work to about one per cent of its workforce as part of a restructuring that will see the ride-hailing company eliminate about 3,300 jobs, its largest workforce reduction since the COVID-19 pandemic.
Chief Executive Officer, Dara Khosrowshahi, announced the change in a memo to employees published on Uber’s website. He said most existing remote employees would be required to move to an office, while the company would retain its hybrid policy requiring staff to work from an office three days a week.
Uber did not disclose the number of employees currently working fully remotely, making it unclear how many workers will be affected by the new requirement. Khosrowshahi said the decision followed the company’s assessment of the benefits of in-person collaboration, problem-solving and support for employees early in their careers.
The company will also introduce clearer rules for determining where roles and teams should be based, with employees concentrated in a smaller number of key hubs. Global teams will be located in major centres such as New York and San Francisco, while regional, local and technology teams will operate from designated hubs.
Khosrowshahi said the restructuring was aimed at simplifying Uber’s organisation, reducing management layers and eliminating small teams with limited direct reports. The changes are expected to reduce the company’s management ranks by about 20 per cent and cut the number of micro-teams by roughly half.
He said Uber’s substantial growth over the past five years had created additional organisational layers, increased coordination requirements and fragmented ownership. The company’s latest restructuring is therefore intended to create a more concentrated organisational structure while encouraging greater co-location between managers and their teams.
The changes come after Uber ended its ride-hailing operations in Nigeria and Uganda. Uber began operating in Lagos in 2014 and later expanded to other Nigerian cities, but its exit from the country after about 12 years leaves Bolt and other mobility platforms competing for drivers and passengers in Nigeria’s expanding ride-hailing market.
