Lyft to lay off 17% of staff, furlough hundreds more amid coronavirus - Business Insider

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Lyft is cutting nearly 1,000 jobs and furloughing 288 others, it said Wednesday. The company said that its executive leadership is taking a 30% pay cut, with vice presidents seeing a 20% reduction and 'all other exempt employees' taking a 10% cut.

The coronavirus pandemic has had an outsized effect on Lyft, and to some extent its larger competitor Uber, as stay-at-home orders around the world drastically reduce demand for on-demand car rides. By some private measures, ride-hailing volumes are down more than 90% in hard-hit areas, having an outsized effect on Lyft. that it had launched a pilot delivery initiative to move essential goods like groceries and medicine.

The company did not confirm the report, but a representative told Business Insider it's "looking at every possible scenario to ensure we get to the other side of this crisis in a stronger position than ever." Lyft is set to report its first-quarter financial performance on May 6, when investors will be eagerly awaiting an update on how the company is weathering the crisis.

"This update will include detailed actions the company is taking to strengthen its financial position, improve its cost structure, and support drivers and riders on the Lyft platform," Lyft said in announcing the call. "In light of the evolving and unpredictable effects of COVID-19, Lyft is currently not in a position to forecast the expected impact of COVID-19 on its financial and operating results for the remainder of 2020." We want to hear from you.

 

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Executive leadership should take 50% pay cut

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