Uber CEO Vows to be ‘Hardcore About Costs,’ Slow Down Hiring in Memo to Employees
upstart writes:
Uber CEO vows to be 'hardcore about costs,' slow down hiring in memo to employees:
Uber is going to slow down hiring and reduce its costs in response to "seismic shifts" in the financial markets, Uber CEO Dara Khosrowshahi said in a memo to employees.
[...] Uber is the latest company to commit to a hiring slowdown as the labor market tightens and tech stocks in particular have plunged sharply from their heights at the beginning of the COVID-19 pandemic. Meta, the parent company of Facebook, also said it would slow down the pace of hiring for mid-level positions.
Uber will now focus on achieving profitability on a free cash flow basis rather than adjusted earnings before interest, taxes, depreciation, and amortization, Khosrowshahi said, noting that is what the company's investors now expect.
Uber has long been criticized based on the way it calculates its adjusted profits. The company's definition of EBITDA includes an unusually large list of exclusions and is widely seen as an inaccurate measure of the company's overall profitability. The company's stock price is down more than 40 percent year-to-date.
Uber to 'Treat Hiring as a Privilege' as a Way to Cut Costs:
In an email to staff, Uber CEO Dara Khosrowshahi outlined some new and not-so-new cost saving measures.
[...] The rideshare giant is the latest in a string of other tech companies announcing hiring slow downs or cuts. At the end of April, investing app, Robinhood, laid off 9% of its staff. Then, Netflix laid off multiple recently hired writers for blog endeavor Tudum following a dismal quarterly earnings report. And, last week, Meta announced a hiring freeze for the rest of the year.
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