‘Dear Uber employee, I have spent a few days in meetings with our investors and what I can clearly tell you is clear to both them and me – the market is facing seismic changes and we must react.’ With these words, Dara Khosrowshahi began his letter to the employees of the ride-sharing tech giant, which then took on a more serious tone.
Uber must, in order to be profitable, reduce costs and focus on building a more sustainable business model, which means it will cut costs for marketing and new hiring, according to the letter that all employees received via official email.
– New jobs will not be taken for granted, but will be a privilege in themselves – Khosrowshahi stated in the letter.
The reasons are clear, tech stocks have begun to lose value sharply, and it seems that investors are concerned about the possibility of the end of the era of cheap money that defined the ‘bull’ market.
The Nasdaq Composite recorded its fifth consecutive week of decline last week, marking its longest weekly losing streak since 2012. In such circumstances, Uber’s announcements about privileges are not surprising.
Facebook, or Meta, also announced last week that it would halt or partially slow down the opening of new jobs, especially at mid and senior levels, and similar announcements are coming from Robinhood, which announced it is reducing about nine percent of its workforce.
