Uber is reducing fully remote work to about one per cent of its workforce as part of a restructuring that will eliminate about 3,300 jobs, the company’s biggest workforce reduction since the COVID-19 pandemic.
Uber Chief Executive Officer Dara Khosrowshahi announced the change in a memo to employees, saying most workers currently operating fully remotely would be required to return to the office.
“We are also asking the vast majority of remote employees to move to an office, and going forward, only 1% of employees will be remote,” Khosrowshahi said.
The company did not disclose the number of employees currently working fully remotely, making it unclear how many workers will be affected by the change.
Uber will retain its hybrid work arrangement, under which employees are expected to work from the office three days a week.
Khosrowshahi said the decision followed what the company described as the benefits of in-person collaboration, particularly in teamwork, problem-solving and the development of employees at the early stages of their careers.
The company will also introduce clearer rules on where jobs and teams should be based, with employees increasingly concentrated in major hubs.
Global teams will be based in cities such as New York and San Francisco, while regional and local teams will operate from designated regional and country hubs. Technology teams will also be concentrated in technology hubs.
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Uber said the restructuring is aimed at simplifying its organisation, reducing management layers and cutting back on small teams.
Khosrowshahi said the company had grown significantly over the past five years, but that expansion had resulted in more organisational layers, increased coordination and fragmented responsibility.
The restructuring is expected to reduce Uber’s management ranks by about 20 per cent, while the number of micro-teams, where managers have only one or two direct reports, will be cut by about half.
The move comes after Uber’s recent exit from Nigeria and Uganda as the company reassesses its operations and investment priorities across its markets.
About the Author
Cecilia Attah is a tech analyst with a degree from Benue State University. She covers tech news and startups at TechRegard with a focus on how technology is transforming Africa and shaping the global landscape.
