This is a part of the global restricting plan, that was earlier announced by Uber CEO Dara Khosrowshahi a as consequence of dwindling costs in the midst of Covid-19.

Uber Indian on Tuesday, announced its action of firing 600-employees that constituted 25% of its workforce-a fourth of its total headcount of 2,400 in the country-across the arenas of customer & driver support, business development, legal, finance, policy, and marketing verticals.

Compensating for the retrenched employees, Uber will be paying 10-12 weeks’ worth of salaries in addition to medical insurance coverage for the next six months and outplacement support, the company stated. These staffers would also be allowed to retain their laptops and given the option of joining the Uber talent directory.

“Today is an incredibly sad day for colleagues leaving the Uber family and all of us at the company. We made the decision now so that we can look to the future with confidence. I want to apologize to departing colleagues and extend my heartfelt thanks to them for their contributions to Uber, the riders, and the driver-partners we serve in India,” - Pradeep Parameswaran, Uber president for India and South Asia, was seen stating in lieu of the confirmation of this declaration. Having a common investor is Softbank, this action comes after a similar move made by Uber’s competitor- ride-hailing app Ola laying off over 1,400 employees, around 35% of its total workforce in the country.

After CEO Dara announced a $2.9-billion loss, its biggest in three quarters, for the January-March quarter of 2020, the company was hoping to be in the green by the fourth quarter of 2020. He had earlier declared that the company would slack-off over 6,700 employees, or 25 percent of its 27,000-strong workforce, spread across the globe, in a bid to save $1 billion. India accounts for around eight percent of its total global employee strength.