HCM & HRIS

Uber cuts 23% of HR and recruitment team in people function overhaul

June 8, 2026
www.ETHRWorld.com
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< />Uber has cut 23% of employees within its <a id=” captionrendered=”1″ data-src=”https://etimg.etb2bimg.com/photo/131584947.cms” height=”442″ href=”http://hr.economictimes.indiatimes.com/tag/people+and+places+division” keywordseo=”People-and-Places-division” loading=”eager” source=”keywords” src=”https://hr.economictimes.indiatimes.com/images/default.jpg” type=”General” weightage=”20″ width=”590″></img>People and Places division, impacting teams across human resources, talent acquisition and workplace operations as the ride-hailing giant restructures its people organisation to improve efficiency and strengthen alignment with business priorities.</p> <p>The move represents one of the most significant organisational changes to Uber’s people function in recent years and comes shortly after Jill Hazelbaker was promoted to President and Chief Corporate Affairs Officer, expanding her oversight of the company’s corporate and people operations.</p> <p>While Uber has not disclosed the exact number of employees affected, the company said the cuts account for well under 1% of its global workforce of approximately 34,000 employees. The reductions are concentrated within the People and Places organisation, which oversees key functions including recruitment, employee experience, workplace services and HR operations.</p> <h3>People function faces restructuring</h3> <p>The restructuring is aimed at simplifying Uber’s people organisation, reducing duplication and bringing teams closer to the business units they support.</p> <p>In an internal memo to employees, Chief Executive Officer Dara Khosrowshahi said the changes were necessary to improve the effectiveness of the people function and position the organisation for future growth.</p> <p>Hazelbaker echoed that message in a separate communication, describing the existing structure as increasingly fragmented and difficult to manage. She noted that overlapping responsibilities and unclear ownership had created complexity within the organisation, limiting its ability to operate effectively.</p> <p>According to the memo, Uber’s goal is to build a more connected and operationally efficient people organisation, with clearer accountability and stronger links between HR teams and business leaders.</p> <p>The restructuring reflects a broader trend across the technology sector, where companies are increasingly reviewing corporate and support functions after years of rapid workforce expansion.</p> <h3>Uber distances move from AI-driven layoffs</h3> <p>The cuts come at a time when many technology firms are attributing workforce reductions to advances in artificial intelligence and automation. However, Uber has been careful to separate the latest restructuring from its AI initiatives.</p> <p>A company spokesperson told media outlets that the layoffs were not driven by artificial intelligence adoption, despite growing scrutiny around the impact of AI on corporate workforces.</p> <p>The clarification is notable because Uber has recently highlighted the role AI is playing in improving productivity across parts of the business. Last month, Khosrowshahi said the company was hiring fewer employees because existing teams were becoming more productive with AI-powered tools. At the same time, senior executives have acknowledged that the returns from AI investments are still being closely evaluated against rising costs.</p> <h3>Efficiency remains the priority</h3> <p>The restructuring also comes as Uber increases oversight of its AI spending. The company recently introduced usage limits for employees using agentic AI tools, establishing spending thresholds based on team requirements and approved use cases. Reports have suggested Uber exhausted its planned AI budget for 2026 within the first few months of the year, underscoring the financial pressures associated with scaling AI adoption.</p> <p>Although the company insists the People and Places overhaul is unrelated to AI, the timing highlights a broader challenge facing employers across the technology industry: balancing operational efficiency, workforce productivity and investment in emerging technologies.</p> <p>For Uber, the latest move appears less focused on reducing overall headcount and more on redesigning how its people organisation operates. By streamlining structures and clarifying responsibilities, the company is seeking to create a leaner HR function capable of supporting business growth while reducing organisational complexity.</p> <p>The restructuring also signals a growing trend among large organisations to rethink the role and structure of HR itself, with people teams increasingly expected to operate as strategic business partners while delivering greater efficiency and measurable impact. </p> <div> <div aria-label=

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