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."

drivers earnings?

[Joe_Dragon]

how many drivers make any good earnings after there costs?

Re:drivers earnings?

[Anonymous Coward]

If they don't...then here's a crazy idea: Don't try to make a full time salary, off a part time job.

They're adults...they can make adult decisions for themselves. Nobody is holding a gun to their head, forcing them to do rideshare.

Re:drivers earnings?

[PPH]

Off a part time job that can be done by practically anyone. New immigrants come to this country. Get a driver's license, learn a little English and then what do they do? Become cabbies.

Re:drivers earnings?

[0xG]

I think you meant "they're costs"

Contractors?

[awwshit]

I thought companies like Lyft didn't have employees, only contractors that cannot set their own rates?

Re:Contractors?

[omnichad]

Startups can't blow through cash that fast without spending it on something. It tends to be massive overhiring. Programmers, marketing, office staff, etc. But probably not customer service, since no matter how much investment cash you have, you send support overseas to the lowest bidder.

How else can a company charge prices as high as they do and still not manage to turn a profit?

Re:Contractors?

[ItsJustAPseudonym]

Right you are. It would be interesting to see some general job descriptions of those being eliminated, just to get a sense of what the heck is being affected. However, they will probably try to keep it hidden, since it would just provide ammo to competitors.

Re:Contractors?

[TwistedGreen]

Telephone sanitizer...?

Re:Contractors?

[ItsJustAPseudonym]

Well played.

Re:Contractors?

[awwshit]

> How else can a company charge prices as high as they do and still not manage to turn a profit?

Between costly cloud services and executive pay how could there be anything left? Most of it went to AWS and the C suite.

Re:Contractors?

[thegarbz]

The employees being fired aren't the "contractors" you are talking about. That's literally the second sentence of the summary and it would have taken you less time to read that far than to make your post.

Re:Contractors?

[awwshit]

You are assuming that I can read.

Where's Biden?

[TheSlashdotHunter]

We bailed out a bank in a week, but screw the workers huh?

Las Vegas Lyft Drivers are cool. Hope you a raise.

[Seven Spirals]

I recently did 100% of my trips in Vegas with Lyft and I loved it. I spent less than the $150 a day a rental car would have cost me and I didn't have to deal with driving, navigating, or parking. Many of the drivers were super cool. I love how many offer to sell me drugs or pussy, too. That's an extra bonus, but you'd better carry some rubbers and one of those little Fentanyl tests for your Molly if you decide to take any of those offers. You never know these days.

Re:Las Vegas Lyft Drivers are cool. Hope you a rai

[Anonymous Coward]

When I go to Vegas, I don't typically leave the hotel property.

Re:Las Vegas Lyft Drivers are cool. Hope you a rai

[Joe_Dragon]

it's easy to walk from one to an other in Vegas

Re:Las Vegas Lyft Drivers are cool. Hope you a rai

[Anonymous Coward]

A home away from home, of sorts.

This is why Lyft went broke, they could have been delivering that casino experience direct to your door in South Carolina, with blackjack and hookers.

Re:Las Vegas Lyft Drivers are cool. Hope you a rai

[spacexfangirl]

150 a day? What the hell, is it that bad?!

Re:Las Vegas Lyft Drivers are cool. Hope you a rai

[Seven Spirals]

Yeah, that was probably an exaggeration. It's more like $90 a day for a little car and about $100 for an SUV. I think you can rent a drop top mustang for about $170 a day. The problem isn't so much the car, it's the parking and hassle.

Re:

[The nickname is not]

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