Uber Technologies has trimmed nearly 10 per cent of its customer service workforce as the ride-hailing giant accelerates its shift towards artificial intelligence (AI) and a leaner organisational structure, according to multiple reports.
The latest job reductions affect employees in Uber’s community operations division, which manages customer support services, sources familiar with the matter said.
As part of the restructuring, the company is also asking remote employees in the division to relocate to designated office hubs, aligning with its broader return-to-office approach.
The move marks the first time Uber has directly linked workforce cuts to its AI-driven transformation strategy. The company is seeking to streamline internal operations and expand the use of AI tools across its business, aiming to make processes faster and more efficient.
An internal communication cited in reports said Uber’s existing structure had become fragmented, limiting its ability to fully harness emerging AI technologies.
Microsoft cuts 4,800 jobs as AI spending pressures costsThe latest cuts follow another round of layoffs in June, when Uber eliminated around 23 per cent of positions in its people division, though the reduction accounted for less than 1 per cent of the company’s global workforce of nearly 34,000 employees.
Uber had earlier indicated that wider adoption of AI would reduce the pace of hiring as automation becomes increasingly integrated into its operations.
Despite the restructuring, the company continues to recruit for more than 500 positions, including engineering roles tied to its autonomous mobility and robotaxi initiatives.
The layoffs come amid a broader wave of workforce reductions across the global technology sector, as companies reassess costs and increasingly turn to AI-driven efficiencies.
According to industry tracking data, more than 1 lakh technology jobs were eliminated globally in the first five months of 2026, with nearly 28,900 layoffs recorded in May alone. Several major technology firms, including Meta, Cloudflare, Intuit, PayPal, Cisco, Quora and Coinbase, have announced job cuts as they pursue restructuring, cost optimisation and expanded AI adoption.
Uber’s latest move highlights a growing trend across the tech industry, where companies are balancing investments in artificial intelligence with efforts to control costs and reshape their workforce.
With IANS inputs
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