Lyft CEO David Risher said on Friday that the ridesharing company would do exactly that “significantly” reduce employment in one other round of layoffs to chop costs, sending its shares up about 4%.
The corporate declined to offer details on the variety of employees affected, but reports the Wall Street Journal earlier within the day, the move can have affected 30% of Lyft’s workforce, over 4,000 employees.
The choice comes weeks after the newly appointed CEO said Lyft was not on the market, disappointing some investors who had speculated that the departure of the corporate’s founders would pave the way in which for a deal and lifted its shares last month.
Lyft can have seen costs halve after layoffs, the WSJ reported.
The corporate in November laid off about 683 employees, or 13% of its then-current workforce, to chop costs and take care of stiff competition from larger rival Uber Technologies in a struggling economy.
The 2 firms are stuck in a battle for market share after the pandemic crisis, and investors fear Lyft’s price cuts to avoid a distant second place within the North American ride-sharing market would hurt its profits.
![Lyft sign](https://nypost.com/wp-content/uploads/sites/2/2023/04/NYPICHPDPICT000008887736.jpg?w=1024)
Recent reported company results showed that Uber’s global presence and more diversified operations gave it a bonus over US-focused Lyft.
Lyft shares have fallen about 11% this yr, in comparison with Uber’s price increase of 27.5% since Thursday’s close.