SAN FRANCISCO – Uber resigned Thursday about 185 folks from its Postmates division, or about 15 p.c of Postmates ’whole workforce, mentioned three folks with data of the motion, because the journey large consolidates its meals supply operations to outlive pandemic.
Many of the Postmates govt crew, together with Bastian Lehmann, the founder and govt director of the favored meals supply app, will depart the corporate, folks say, who’ve spoken on situation of not being referred to as as a result of they weren’t. licensed to talk publicly. Uber purchased Postmates final 12 months for $ 2.65 billion.
Some Postmates vice presidents and different executives are leaving with multi-million greenback exit packages, folks mentioned. Some staff may additionally see decreased compensation packages, folks mentioned, whereas others can be requested to depart or serve the tip of their contractual positions, which may result in extra layoffs within the coming months.
The cuts are half of a bigger integration of Uber’s meals supply division, Uber Eats, with Postmates. Whereas the Postmates model and app will stay separate, a lot of the behind-the-scenes infrastructure can be joined by Uber Eats and supported by Uber Eats staff. Pierre Dimitri Gore-Coty, the world chief in Uber Eats, will proceed to handle the mixed meals supply enterprise, the folks mentioned.
An Uber spokesman, Matt Kallman, confirmed the cuts. “We’re so grateful for the contributions of all of the members of the Postmates crew,” mentioned Mr. Kallman. “Whereas we’re completely happy to formally obtain lots of them at Uber, we’re sorry to say goodbye to others. We’re so completely happy to proceed to construct on the unimaginable work this outstanding crew has already completed.”
Meals supply has been essential for Uber as its transportation exercise has been severely undermined by the consequences of the pandemic on journey. Dara Khosrowshahi, Uber’s govt director, pointed to meals supply as a brilliant spot; final 12 months, Uber Eats ’revenues exceeded revenues from the journey enterprise for the primary time as folks ordered extra meals delivered at house.
Uber, which is dropping cash, laid off a whole lot of staff in 2019 as a result of it tried to manage prices. The corporate at the moment has greater than 21,000 full-time staff; its conductors are impartial entrepreneurs.
Whereas Uber has been robust in meals supply, it has needed to defend itself from rivals who’ve sought to achieve market share by subsidizing supply prices with promotions and reductions.
DoorDash, which went public in December, has grown quickly in recent times and has acquired the smaller-sized beginning Caviar. Different vital rivals embrace Simply Eat Takeaway, which defeated Uber to accumulate Grubhub final 12 months for greater than $ 7 billion, and Deliveroo, a supply firm that’s well-liked in Europe.