Lyft Is Reportedly Slashing 1,200 Jobs, Or 30% of Its Workforce

According to the Wall Street Journal, ride-hailing company Lyft is planning to cut 1,200 jobs, or more than 30% of the company's 4,000-person workforce. These figures don't include drivers because they aren't counted as employees at Lyft. Insider reports: It's another round of reductions for the company that last cut 700 employees in November. The cuts come just days after David Risher took the helm as Lyft's new CEO and could help the company reduce costs by 50%, the Journal said. In a memo to employees sent Friday morning that has since been posted on Lyft's site, Risher noted that the company intends to use the savings to "invest in competitive pricing, faster pick-up times, and better driver earnings." In the memo, Risher said employees would receive an email with details of their employment status on April 27 at 8:30 am Pacific time. A spokesperson for Lyft told Insider that the company would not be able to confirm the number of affected employees until next week. However, in an emailed statement, the spokesperson said that "David has made clear to the company that his focus is on creating a great and affordable experience for riders and improving drivers' earnings." The spokesperson added, "to do so requires that we reduce our costs and structure our company so that our leaders are closer to riders and drivers. This is a hard decision and one we're not making lightly. But the result will be a far stronger, more competitive Lyft."

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