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Lyft has joined the long list of companies cut-shorting the workforce.
California-based car rental company, Lyft, has fired at least 60 employees and shut its first-party car rental service as it aims to consolidate its global operations amid the macro-economic conditions.
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The company had given Some of its staff 30-day notice to leave. Lyft is known as the rival of Uber.
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The layoffs covered less than 2 percent of Lyft staff and mostly affected workers in operations, according to the Wall Street Journal.
“Hi all, yesterday my time at Lyft came to an end as I was impacted by layoffs that took place within the company. I am now in search of a new role and would love your support,” Edgar Izaguirre, Senior Market Operations Associate at Lyft, posted on LinkedIn late on Wednesday. This decision has come just before the company’s Q2 value revelation.
Lyft has stopped all the functioning of the first-party car rental service it was running in five locations but will continue to provide service in other 30 locations. Further, the company said it is going to continue working with big car-rental companies.
“We have decided to discontinue Lyft as first-party rentals business to focus on our best-in-class third-party rentals with Sixt and Hertz,” a Lyft spokesperson was quoted as saying in media reports.
“This decision will ensure we continue to have national coverage and offer riders a more seamless booking experience,” the spokesperson added.
In an internal memo, Cal Lankton, vice president of fleet and global operations at Lyft, said that “our road to scaling first party rentals is long and challenging with significant uncertainty”.
(Input from IANS)
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