Topline: Uber laid off 400 staff from its advertising and marketing division Monday as the corporate contends with worries about slowing development and inside dissatisfaction on the advertising and marketing group, the Los Angeles Occasions reported.
Uber didn’t instantly reply to request for remark from Forbes.
- The layoffs will happen throughout Uber’s international places of work, reducing the advertising and marketing group from 1,200 to 800.
- With 24,494 staff globally, in response to a June SEC submitting, the layoffs will scale back the Uber’s headcount by 1.6%.
- In an inside electronic mail to staff saying the layoffs, CEO Dara Khosrowshahi stated that slower development “occurs naturally” as corporations get greater, but it surely’s nonetheless one thing the corporate wants to deal with rapidly, in response to Bloomberg.
- The pinnacle of Uber’s advertising and marketing division additionally wrote in an inside electronic mail that she’s “constantly heard that we’ve too many individuals with overlapping mandates” and that there’s “deep dissatisfaction inside the group,” extra so than another division within the firm, in response to the Los Angeles Occasions.
- Uber shares dropped 1.4% Monday.
Key Background: The layoffs come after Uber’s chief advertising and marketing officer Rebecca Messina stepped down final month as the corporate mixed its advertising and marketing, public relations and coverage groups underneath senior vp of communications and public coverage Jill Hazelbaker.
Tangent: Lyft’s COO Jon McNeill additionally stated he was leaving the corporate Monday, Bloomberg reported. Lyft shares fell greater than 2% following the announcement.