Ride-hailing company Uber India said on Tuesday that it is laying off around 600 full-time employees due to the coronavirus pandemic. That marked about 25 per cent of the company’s workforce in the country. The impacted positions are around the company’s driver and rider support operations, and other functions, Uber India and South Asia president Pradeep Parameswaran said in a statement. The move by Uber India comes at a time when the country remains in the fourth phase of a nationwide lockdown with few exceptions to curb the spread of the coronavirus outbreak, which has pushed the economy into a standstill and forced many businesses to trim workforce.
“The impact of COVID-19 and the unpredictable nature of the recovery has left Uber India SA with no choice but to reduce the size of its workforce… Today is an incredibly sad day for colleagues leaving the Uber family and all of us at the company,” Mr Parameswaran said.
Uber India said the layoffs are part of the previously announced global job cuts.
Last week, the US-based Uber Technologies – which is the parent company of Uber India – announced a 23 per cent cut in its workforce, in a bid to become profitable despite the coronavirus pandemic.
Uber Technologies had said a total 6,700 jobs will be impacted, including 3,700 announced earlier this month, and will concentrate on its core businesses in ride-hailing and food delivery.
“Each (of the impacted employees) will receive a minimum 10-weeks payout, medical insurance coverage for the next six months, outplacement support, be allowed to retain their laptops and given the option to join the Uber talent directory,” Mr Parameswaran said.
Uber India’s rival Ola last week announced a layoff of 1,400 employees to navigate the strict coronavirus lockdown, which it said led to a 95 per cent decline in its revenue.