San Francisco: The ride-hailing app Uber has laid off about 3,700 employees or about 14 percent of its employees through multiple zoom calls and each call has lasted less than three minutes, with a common message: “Today with your Uber Will be the last working day “.
Last week, Uber Technologies announced the closure of some 3,700 full-time employees, to reduce operating expenses due to the economic challenges and uncertainty posed by the COVID-19 epidemic and its impact on the company’s business.
In the video footage obtained by the Daily Mail, a company manager said: “Today will be your last working day with Uber”, as they informed some of the axed customer-support employees.
“Right now, the ride business is down more than half due to COVID-19. The difficult and unfortunate reality is that there is not enough work for many front-line customer-support employees, ”said Ruffin Shavellue, head of Uber’s Phoenix Center of Excellence.
In a regulatory filing with the US Securities and Exchange Commission (SEC), Uber said that due to lower travel volumes in its ride segment and withholding on the company’s current fares, it is reducing its customer support and about 3,700 full-time employees Recruiting teams by roles. .
“With the reality of our ride trip volume declining significantly, our need for in-person support along with communication operations has reduced significantly. And with our recruitment freeze, that’s not enough for recruiters, ”company CEO Dara Khrosroshi said in a letter to employees.
Khosroshahi entered into an agreement with the board of directors of Uber, to waive his base salary for the rest of the year ending December 31, 2020.
A spokesperson for Uber told Fox Business this week: “It’s never easy or simple to let employees go, and that’s only more true during this unprecedented period, where we all work from home in dozens of cities and countries are doing”.
“We have focused on providing the clearest, most empirical experience possible, and put together a strong severance package and other benefits.”
Ride-hailing major Uber reported a net loss of $ 2.9 billion in the first quarter of this year, even as its revenue increased 14 percent from $ 3.1 billion in Q1 2020 to $ 3.54 billion a year earlier.
In Q1 2019, Uber had a net loss of $ 1 billion, including $ 11 million in stock-based compensation expense.
Uber also announced that it is transforming its JUMP e-bike and e-scooter business into Lime.
“Our customers will continue to have access to e-bikes and e-scooters in our app. As part of the transaction, we invested an additional $ 85 million note in Lime.