Uber lays off 10% of workforce as AI integration grows

Uber has conducted significant global layoffs, impacting around 10% of its workforce, as reported by Business Insider. While the company has not directly linked the workforce reduction to the rise of artificial intelligence, several recently terminated employees have detailed the expanding role of AI in their daily responsibilities.

CEO Dara Khosrowshahi announced earlier this month that approximately 3,300 employees would be laid off, citing a need to flatten management layers and reduce the number of managers overseeing very small teams. AI was not mentioned as a reason in the internal memo announcing the cuts.

According to the affected employees, AI tools such as ChatGPT and Gemini have become more prevalent. They have been utilized for tasks including preparing for client meetings, answering internal questions on Slack, and drafting responses to customer service inquiries. Some individuals noted that AI significantly reduced the time required to complete tasks, in some cases by as much as 80%.

Uber has previously introduced an AI chatbot named "Genie" designed to quickly answer employee questions by referencing internal documentation. Another tool, Glean, has been used in customer service to manage requests from drivers and passengers. However, some employees also received guidance to avoid letting AI fully complete their work, raising questions about the necessity of human roles.

Earlier this year, the company also reportedly capped usage of certain AI services, such as Claude, after not seeing productivity gains commensurate with its investments in AI tools. Uber has also been exploring AI applications in areas like finance and human resources.