Uber’s Global Job Cuts Should Worry Kenyan Riders and Drivers Too

Uber has announced it is cutting about 10 percent of its global workforce, a move CEO Dara Khosrowshahi described as part of “significant organisational changes” aimed at building a leaner, faster company.

The ride-hailing giant, which employs roughly 34,000 people across more than 70 countries, says the restructuring is meant to sharpen decision-making and speed up growth investment. For the Consumers Federation of Kenya (COFEK), the headline job losses are only part of the story. Uber’s business model has always rested overwhelmingly on non-employee labour — drivers classified as independent contractors rather than staff, absorbing the costs, risks, and income volatility that come with that status.

When a company built on outsourced labour announces layoffs of its formal workforce, the pressure does not disappear; it typically shifts further onto the very drivers who were never counted as employees in the first place. Effect on Kenyan drivers Kenyan Uber drivers have for years raised concerns about inconsistent fares, opaque commission structures, and inadequate compensation relative to fuel, maintenance, and vehicle costs.

A company reorganising to protect margins and fund “growth areas” — as the report notes Uber intends to do — will be looking for efficiencies somewhere.

Historically, that search for efficiency has translated into fare algorithm changes, tighter commission structures, or reduced driver support, rather than cuts to executive compensation or shareholder returns. COFEK’s concern is straightforward: any cost-saving measures that flow downstream to Kenyan drivers, without corresponding transparency or consultation, are a consumer protection issue as much as a labour issue.

Drivers are effectively small business owners providing a public-facing service, and riders depend on a stable, adequately compensated driver base for safety and service quality. A financially squeezed driver pool is not good for passengers either.

Market withdrawal as a warning sign The report also notes that Uber has already shut down its operations entirely in Nigeria and Uganda, having earlier exited Tanzania this year.

This pattern of retreat from East and West African markets should concern Kenyan consumers and regulators alike.

Uber is not a charity; its presence in any market is a commercial calculation. If the profitability math shifts, Kenya cannot assume immunity from a similar decision, and thousands of drivers who have built their livelihoods around the platform would be left exposed with little notice and less recourse. COFEK has consistently argued that Kenya’s gig economy — encompassing ride-hailing, delivery, and courier platforms — operates in a regulatory grey zone that leaves both drivers and consumers under-protected.

There is no robust framework requiring platforms to give adequate notice before market exit, to guarantee minimum standards of fare transparency, or to protect accumulated driver earnings and benefits during restructuring.

Uber’s global reshuffle is a timely reminder that this gap needs closing before, not after, a Kenyan exit or a Kenyan version of these cuts materialises.

Delivery consolidation and

Delivery consolidation, service quality The restructuring reportedly also affects Uber’s delivery arm, with restaurant, retail, and direct delivery units being consolidated into broader regional teams and fewer layers of management remaining between frontline operations and leadership.

Consolidation of this kind often means fewer dedicated staff handling local partner relationships and consumer complaints — precisely the functions Kenyan consumers rely on when a delivery order goes wrong or a restaurant partner dispute arises. COFEK’s position COFEK calls on Uber Kenya to proactively communicate how, if at all, this global restructuring will affect local operations, driver compensation structures, and consumer-facing support services.

Kenyan drivers and riders should not have to learn about material changes to their livelihoods or service quality through foreign press reports.

More broadly, COFEK renews its call for the relevant authorities — including the Ministry of Labour and the Competition Authority of Kenya — to fast-track a clear regulatory framework for digital platform work.

Such a framework should guarantee fair notice periods for market changes, transparent fare-setting mechanisms, and enforceable minimum protections for gig workers who, though not classified as employees, are the backbone of these platforms’ Kenyan operations. Consumers deserve reliable services. Drivers deserve fair treatment. Neither should be an afterthought in a boardroom restructuring decision made thousands of kilometres away.