Uber Plans 3,300 Job Cuts as Dell Raises Forecast in Key Stock Movers

Uber is cutting about 3,300 jobs worldwide, equal to roughly 10% of its workforce, as Chief Executive Dara Khosrowshahi reorganizes the company around fewer management layers and faster execution. The cuts represent Uber’s largest workforce reduction since the company eliminated 14% of its employees, or about 3,700 roles, during the COVID-19 crisis.

The restructuring combines a workforce reduction with changes to Uber’s internal structure. The company is reducing employees seven or more layers below the CEO by 20%, halving the number of micro-teams with only 1 or 2 direct reports, and consolidating restaurant, retail and direct delivery operations. The stated goal is to redirect money and attention toward rides, delivery and autonomous vehicle initiatives.

Uber’s job cuts are taking place despite strong expansion, rather than in response to a reported economic downturn. Khosrowshahi said the company has grown by orders of magnitude over the past 5 years, leaving an organization that became difficult to manage and increasingly focused on coordination instead of building products and serving customers.

That tension reflects Uber’s expansion across multiple businesses. Ride-hailing, delivery and robotaxi operations developed separately, but the company now considers separate structures inefficient at its current scale. Combining teams is intended to produce a simpler organization centered on product development and operations, while reducing the managerial overhead that accumulated during rapid growth.

Autonomous vehicles are a central destination for the savings created by Uber’s restructuring. The company plans to reinvest funds from a leaner workforce into growth, innovation, rides, delivery and robotaxi programs, tying the layoffs to a shift in capital and talent priorities rather than a retreat from transportation technology.

That strategy puts Uber’s conventional marketplace businesses and autonomous vehicle ambitions in the same operating plan. Delivery remains a major focus, but its restaurant, retail and direct divisions are being brought together, while robotaxis receive greater strategic emphasis. The resulting model is designed to reduce internal friction as Uber builds partnerships and services around automated transportation.

Uber shares gained 1.61% to close at $76.45 after the restructuring announcement, indicating that investors treated the cuts as a cost and execution measure rather than evidence of an immediate demand collapse. The market response also reflects the prospect of redirecting savings into businesses that management views as growth priorities.

The same stock-movers update placed Uber alongside Dell Technologies, which raised its revenue forecast. Dell’s stronger outlook provides a contrasting market signal: Uber is simplifying its organization to fund future growth, while Dell is receiving attention for improved expectations around current revenue performance. Together, the companies illustrate how investors are weighing cost discipline and forward investment alongside near-term sales momentum.

Uber’s next test is whether fewer layers produce faster decisions without weakening the rides, delivery and autonomous vehicle businesses that depend on complex coordination. The company has tied the workforce reduction to employee feedback about excessive internal process, making execution speed the main measure of success.

The restructuring also raises the stakes for Uber’s robotaxi strategy. Savings must translate into stronger products, partnerships or deployment capacity if the company is to justify the disruption caused by the cuts. Dell’s raised revenue forecast adds a separate benchmark for the broader market, where investors are rewarding both operational discipline and credible growth plans.