As the global scenario is shifting down by the situation caused due to Covid-19 disease around the world. The whole businesses and stock marketing are also shut down due to the epidemic disease. This global effect also puts uber demand down and profoundly affects its income. As all the states around the world are enforcing lockdown, the need for public transport is too low. As a result, Uber has decided to cut off its employees up to 20% to maintain their mechanism.
Another news being discussed around the corner is that Thuan Pham – the CTO of Uber is stepping down after seven years of his services. According to Uber spokesperson, the responsibilities of the company’s CTO are handled by the engineering team until they will find out a permanent CTO. It is more challenging now as the under-crisis Uber’s CTO is stepping down at a crucial time. The company would need to take some bold steps to get out of it. The company sources also said that they are working to put the crisis on the other side, and will take every possible step in order to save more jobs from cutting off.
According to a rough estimate, Uber cut more than 1100 jobs last year before the arise of the coronavirus pandemic. The company is expecting a rise in its profit in the second half of 2020, as stated by its financial forecasters. In a statement, Thuan also said that Uber’s engineering team is working day and night with their peak effort. Moreover, he added that they are working for stability and are well prepared for the future crisis.
The first quarter might be proved the bad one for the Uber, as the effected amount they calculated during the crisis is more than $2.2 billion. But they ‘re hoping up the best for the upcoming quarter. Indeed, the situation is not as good as the world is still looking for a vaccine of this epidemic disease. No one could tell precisely about how much time it takes to get out of the world, and when would the masses come out of this quarantined life. The whole setup of the transportation business is stuck off, and they are also looking for someone to come out and make things healthy.
The decision of cutting 20 per cent of employees is undertaking and would be expecting an upward impact on the company’s revenue. 800 out of those 20 per cent hopefully discharged people from the company are from the Pham’s engineering team.