Business

Uber closes LA office and outsources to Manila

An Uber SUV waits for a client in the US Image copyright Getty Images

Uber has closed a customer support office in downtown Los Angeles, laying off around 80 workers.

Some of the roles are expected to be moved to the company's operation in Manila in the Philippines.

Most of the staff affected worked on liaising with drivers, processing documents and dealing with account issues.

The announcement comes as Uber has seen its losses grow as it faces challenges around the world.

An Uber spokesperson told the BBC: "In order to focus our resources on larger customer support centres, we are closing the Uber support office in downtown Los Angeles."

It is understood that the move will affect fewer than 100 workers, and that all of the people impacted were asked to apply for other roles in the company.

Earlier this month the firm said it lost $1.1bn (£851m) in the last three months of 2019, even as revenue jumped 37% to $4bn and the number of trips made on its platform rose by 28%.

Chief executive Dara Khosrowshahi said he was "gratified" with the progress the company is making toward profitability.

In January, Uber sold its loss-making India-based food business to competitor Zomato, in exchange for a stake in the start-up.

In London the ride-hailing firm has been stripped of its licence to operate after concerns over safety failures.

Since its New York Stock Exchange debut last year, shares have been under a cloud, as investors eye the firm's losses and it faces regulatory hurdles around the world.

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