Uber lays off 400 marketing staff in drive to trim IPO bloat
Uber has laid off a third of its global marketing team as it pushes to cut bloat after its stock market debut in May.
The decision to cut its marketing team from 1,200 to 800 people represents an overall staff reduction of roughly 1.6 per cent worldwide.
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Chief executive Dara Khosrowshahi said the redundancies would help the company “get our edge back”, in an internal email seen by the New York Times.
“Many of our teams are too big, which creates overlapping work, makes for unclear decision owners, and can lead to mediocre results,” he added.
“As a company, we can do more to keep the bar high, and expect more of ourselves and each other.”
The job cuts define a transitional period for the Uber, with their first employee and director, Ryan Graves, stepping down in May.
Former chief operating officer Barney Harford and chief marketing officer Rebecca Messina stepped down in June following Uber’s chaotic initial public offering.
The ride-hailing app’s stock floated at $45 per share in May at the lower end of its target range. Shares are now worth $43.9 after a tumultous period in which their value fluctuated.
Messina’s departure led to the marketing team being merged with the communications department, helmed by Jill Hazelbaker.
Last week, another of Uber’s board, Arianna Huffington, also stepped down from her position to focus on her new startup, Thrive Global.
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She said on Twitter: “Given Thrive’s growth, it’s become clear to me that I will no longer be able to give my board duties they attention they deserve.”
Uber has yet to announce the departing board members’ replacements.
Main image credit: Getty