San Francisco – The multinational on-demand transport Uber reported Monday that it has laid off 400 workers from its marketing department, which makes up a third of the around 1,200 employees in this section.
In a statement, the firm of San Francisco, California, confirmed the information advanced by The New York Times and explained that the decision is part of the process of “restructuring” in which Uber has been immersed since its IPO on May 10.
“Let’s talk clearly: we have to regain our advantage. We win being fast, and many of our teams are too big, which makes the job double,” said Uber CEO Dara Khosrowshahi to justify the layoffs.
The decision comes after the company left two senior executives on June 7, the hitherto chief of operations, Barney Harford, and the chief marketing officer, Rebecca Messina, who justified at that time that their positions had left if necessary with the restructuring.
In the case of Harford, it was Khosrowshahi himself who went on to assume his responsibilities, because once the IPO was made and with “the current progress of the company” he said he felt more time to get involved in the day today.
“This will allow me to be more involved in daily operations and help our leaders solve problems in real-time while ensuring that we make our vision for the platform a reality,” Khosrowshahi said.
Regarding the hitherto head of marketing, the CEO explained that “it is increasingly clear that it is crucial for us to have a consistent and unified narrative towards consumers, the press, partners, and politicians,” so he decided combine marketing, communications, and policy units.
With this, Messina’s position disappeared and became part of a new macro department run by the hitherto vice president of communications and public policy, Jill Hazelbaker.
In parallel to the announcement of Uber, its great competitor in the US and Canadian markets, Lyft, revealed changes in its organizational chart, in this case, the resignation of what was its chief operating officer, Jon McNeill, whose position will disappear and the functions will be divided between Other managers
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Colin has been working in the business industry for quite a sometime and he recently made the decision to become a full-time business journalist. At Daily Research News, he also helps us take care of the business writing.