Uber Technologies will reduce its global workforce by 10%, eliminating approximately 3,300 positions, marking the company’s largest layoffs since the pandemic-era cuts of May 2020. The restructuring targets layers of management seven or more levels below the CEO, teams with minimal direct reports, and fully remote roles, which will be capped at about 1% of the workforce. The company’s three-day office policy remains unchanged.
The cuts follow a period of aggressive expansion, including a $14.8 billion bid for Delivery Hero, which was abandoned earlier this year after regulatory hurdles. Uber’s stock has underperformed the S&P 500 and rival Lyft in 2026, declining nearly 8% year-to-date despite a 2% intraday gain following the layoff announcement.
Chief Executive Dara Khosrowshahi framed the reductions as necessary to improve operational efficiency, stating that a leaner structure would enable clearer ownership, faster decision-making, and greater focus on innovation. The company plans to reinvest savings into growth initiatives, including its robotaxi program, where Uber has earmarked over $10 billion for deployment in the coming years.
The restructuring also reflects broader shifts in Uber’s business model, as the company scales back its reliance on human drivers in favor of autonomous vehicle technology. Analyst Adam Ballantyne of Cambiar Investors noted that scaling autonomous services requires a different workforce composition than traditional ride-hailing operations. Uber’s AI spending has outpaced projections, with its 2026 budget exhausted within four months, underscoring the accelerated investment in technology.
The layoffs align with a wave of workforce reductions across the tech sector, with tracking site layoffs.fyi reporting more than 123,000 job cuts across nearly 390 companies in 2026.
