Uber Technologies has cut 10 percent of roles within its customer-facing Community Operations team as part of a broader organisational restructuring intended to streamline operations and expand use of artificial intelligence. The company announced the reductions on Wednesday; the report was first carried by Bloomberg.
A company spokesperson said the changes aim to simplify operations, strengthen in-person collaboration and accelerate AI adoption. Remote employees affected by the reductions were asked to relocate to one of Uber's central offices in line with the company's return-to-office policy.
Megha Yethadka, Uber's vice president for global community operations, wrote in an internal memo to division staff that the organisation had become "too complex and fragmented." She said the firm had already made progress using AI, but to fully capitalise on those opportunities Uber needs a more efficient, less fragmented structure on which to build AI capabilities. Yethadka emphasised that the most advanced technologies cannot be scaled on top of fragmented processes.
Other companies have cited AI in recent cuts
In recent months several companies, including Block Inc. and Oracle, have cited AI-driven efficiencies as a reason for workforce reductions. Uber is among the first to explicitly link its support-team layoffs to the efficiencies it expects from AI.
The move is also the second round of reductions at the ride-hailing company in under two months. In June Uber cut 23 percent of roles in its People division, which represented less than 1 percent of the company’s roughly 34,000 global employees. Uber has not disclosed the absolute number of customer support staff affected by the current reductions.
Market reaction and hiring outlook
Uber's shares showed little meaningful change in after-hours trading following the announcement. In May the company had already said it would slow hiring as internal AI use expands. Nevertheless, Uber's careers site still lists more than 500 open positions, including engineering roles that support initiatives such as robotaxi partnerships.
Why it matters
Uber's decision highlights how AI is shaping not only product and service roadmaps but also operating models at major technology firms. The combination of organisational restructuring and a push for more in-office work signals the company's effort to create a structure it deems necessary to scale AI across its operations.
