Uber cuts 10% of jobs today, stock up: Why these layoffs are different from others

On Wednesday, Uber announced it is cutting 10% of its workforce, which equates to 3,300 employees. CEO Dara Khosrowshahi outlined that these organizational changes are intended to eliminate layers, simplify structures, enhance global strategies, and focus investments on the most promising opportunities. The CEO emphasized that a leaner organization will lead to clearer responsibilities, quicker decisions, and more time dedicated to building rather than coordinating.

This move is part of a broader trend of technology companies downsizing, such as Apple, TikTok, LinkedIn, and Netflix, though Uber did not cite AI as the reason for the layoffs. Unlike many other companies, Uber aims to concentrate teams in its major hubs in New York and San Francisco and prioritize co-location between managers and their teams, particularly for newer employees.

The company plans to ask most of its remote staff to transition to office work, drastically reducing remote work options to less than 1% of the workforce. Uber's stock, after the announcement, saw a nearly 2% increase. Despite the layoffs, Uber reported mixed earnings for Q2 2026, with earnings per share at 81 cents, which met expectations, and revenue of $14.19 billion, slightly below the anticipated $14.24 billion.

However, this revenue figure was a 12% increase from the previous year. Over the past year, Uber's stock has decreased by 19%, currently trading at $76.