Full Breakdown
Uber Cuts 23% of People & Places Division as New President Restructures Operations
6/4/2026, 12:19:45 AM
Core Event: Targeted Layoffs in People & Places Division
Uber announced that it will eliminate 23 % of jobs in its People & Places division, which includes human-resources, recruitment, workplace facilities and culture teams. The reduction represents “well under 1 %” of Uber’s global workforce of roughly 34,000 employees. No precise headcount was disclosed; some reports estimate the cuts affect about 780 positions.
Background & Context: Leadership Change and Organizational Goals
In May 2025 Uber created the role of President and Chief Corporate Affairs Officer and appointed Jill Hazelbaker to it. The new portfolio adds oversight of the People & Places organization and safety operations. Hazelbaker’s memo described the division as “complex and fragmented, with overlapping responsibilities, unclear ownership, and teams operating too far from the businesses and partners they support,” prompting a restructuring aimed at simplification.
Key Figures & Groups
- Dara Khosrowshahi – Chief Executive Officer, Uber
- Jill Hazelbaker – President and Chief Corporate Affairs Officer, Uber
- Andrew Macdonald – Chief Operating Officer, Uber
- Uber spokesperson – Provided quantitative details on the layoff scope
Data & Statistics
- 23 % of People & Places staff slated for removal
- < 1 % of total workforce (? 34,000 employees) affected
- Approximate headcount of cuts: ~ 780 positions (per some estimates)
- Uber continues hiring for > 800 roles, including robotaxi and delivery positions
- AI-tool spending caps introduced at $1,500 per month for most employees
Why It Matters: Operational Efficiency and AI Context
Uber frames the cuts as a means to create a “more connected, modern, operationally excellent organization.” By reducing layers of management, the company seeks faster decision-making and tighter alignment between support functions and core business units. The move diverges from other tech firms that have cited artificial-intelligence cost-savings as the primary driver of layoffs, even as Uber expands AI usage across its products and imposes spending limits on AI tools.
Official Statements & Responses
- CEO Dara Khosrowshahi said the changes are needed to maximize the People team’s effectiveness and unlock future potential.
- President Jill Hazelbaker described the restructuring as essential to eliminate fragmentation and improve operational connectivity.
- COO Andrew Macdonald noted that productivity gains from AI tools have not kept pace with the company’s AI-related spending.
- Uber spokesperson confirmed that the layoffs affect less than 1 % of the company’s total workforce.
Conflicting Reports & Gaps
Sources differ on the exact number of positions eliminated—some cite “roughly 780” while others provide only the 23 % proportion. Uber has not announced any additional restructuring plans beyond the People & Places division, leaving the scope of future changes unclear.
Verbatim Quotes
- “These changes are necessary to maximize the effectiveness of the People team and the enormous potential ahead of us,” — Dara Khosrowshahi, CEO, Uber
- “more connected, modern, operationally excellent organization.” — Jill Hazelbaker, President & Chief Corporate Affairs Officer, Uber
- “As we’ve grown, parts of the organization have become too complex and fragmented, with overlapping responsibilities, unclear ownership, and teams operating too far from the businesses and partners they support,” — Jill Hazelbaker, President & Chief Corporate Affairs Officer, Uber
- “COO Andrew Macdonald, meanwhile, said that those productivity gains aren't proportional to what the company is spending on AI tokens.” — Andrew Macdonald, COO, Uber
- “The job cuts amount to less than 1% of Uber's global workforce of 34,000 employees, a spokesperson said.” — Uber spokesperson
What’s Next
Uber will continue hiring for more than 800 positions while monitoring efficiency gains from the People & Places overhaul. The company has instituted tiered spending limits on advanced AI tools and has not ruled out further organizational adjustments, suggesting that additional restructuring could follow if efficiency targets are not met.
