Uber Slashes HR Team and Caps AI Spending After Rapid Use

WHO:

Fast Company - Uber CEO Dara Khosrowshahi announced changes to the HR team.

Fast Company - Jill Hazelbaker was promoted from SVP and chief marketing officer to president and chief corporate affairs officer at Uber.

Fast Company - Andrew Macdonald is the president and COO of Uber.

WHAT:

Fast Company - Uber is laying off 23% of its recruitment and human resources divisions.

Fast Company - The layoffs account for less than 1% of Uber's workforce of 34,000 employees.

Inc - AI generated at least 10 percent of Uber’s code.

Inc - Uber set budget tiers on AI tools at a monthly $1,500 per employee and per agentic coding tool.

Inc - Uber exceeded its AI budget for the year within four months.

WHERE:

Fast Company - The layoffs and changes are occurring within Uber's HR and recruiting divisions.

WHEN:

Fast Company - The layoffs were reported on a Wednesday morning.

Fast Company - The changes were announced three weeks after Jill Hazelbaker's promotion.

WHY:

Fast Company - Dara Khosrowshahi stated that the changes are necessary to maximize the effectiveness of the People team.

Fast Company - Jill Hazelbaker mentioned that the layoffs aim to create a “more connected, modern, operationally excellent organization.”

Fast Company - The organization had become too complex and fragmented, with overlapping responsibilities and unclear ownership.

HOW:

Fast Company - Employees approved to work remotely were asked to return to the office to comply with Uber’s hybrid work policy.

Inc - Uber encouraged staffers to use AI “as much as possible” and ranked employee usage internally on leaderboards.

(UPDATED June 3, 2026 21:57 UTC)

Uber is making significant changes to its HR team, including laying off 23% of its recruitment and human resources divisions, which represents less than 1% of its 34,000 employees. CEO Dara Khosrowshahi emphasized that these adjustments are necessary to enhance the effectiveness of the People team, while newly promoted president Jill Hazelbaker noted that the layoffs aim to streamline operations and reduce complexity within the organization. In addition, Uber is encouraging its staff to utilize AI tools more extensively, having already exceeded its AI budget for the year within just four months.