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Uber caught in scandals. A large number of senior executives left their jobs. Investors criticized their company's culture as toxic

2017-06-15

  Many scandals such as sexual harassment broke out within Uber, and a large number of senior executives left. The investigation report said that Uber should reduce the supply of alcohol and reverse the "brother culture."

  Uber, the "unicorn" in the US online taxi industry, is in trouble. On June 14, according to foreign media reports, Uber founder and CEO Travis Kalanick announced that he would take an indefinite leave. In the past few months, Uber was caught in scandals such as sexual harassment and gender discrimination.

Uber caught in scandals. A large number of senior executives left their jobs. Investors criticized their company's culture as toxic

  Uber founder has not determined the return date

  On Tuesday, Uber founder and CEO Kalanick announced plans to take an indefinite leave. According to media reports, on June 13, US time, Kalanick said at an employee meeting that he planned to take a leave and did not disclose his time to return to the company.

  According to a copy of a report prepared for the company's board, the company will deprive Kalanick of some of his powers and appoint an independent board chairman to limit his influence in the company when he returns to Uber.

  The day before, Emil Michael, the second-in-command and senior vice president of business, also confirmed his departure from Uber.

  Earlier, former Uber Attorney General Eric Holder, investigated Uber's internal culture because of the accused of gender discrimination and sexual harassment. On June 12, Uber held a board meeting and announced the results of a months-long investigation. All directors approved the recommendations in the report, including requiring second-in-command Emil Michael to leave, attract more independent directors, Kalanick took three months off, etc.

  Company culture is accused of being "toxic"

  On February 19, a former Uber engineer named Susan Fowler wrote an article in her personal blog saying that since she joined the company in November 2015, she has been sexually harassed by her supervisor. After reporting it to HR, HR not only did not punish the harasser, but instead forced her to switch teams. Susan Fowler also said that as she understands, several female employees within Uber have encountered the same incident.

  In February, Uber investors Mitch Kapor and Freada Kapor Klein criticized Uber's corporate culture as "toxic", saying that Uber's corporate culture "lacks respect and diversity, is full of exclusive small circles and tolerance for bullying and harassment." As of early June, Uber has fired more than 20 people related to sexual harassment incidents and launched an investigation into at least 215 employees.

  In an investigation report by former U.S. Department of Justice Attorney General Eric Holder, Holder suggested creating a board oversight committee, changing Uber's cultural values, reducing alcohol supply in office spaces, reversing "Bro culture", banning intimacy between employees and their immediate bosses, etc.

  Company executives leave one after another

  With these scandals entangled, more and more Uber employees choose to leave. Several senior executives have left this year. In March, Jeff Jones, president of Uber Taxi Services, announced his resignation, less than a year after joining the company; Brian McClendon, vice president of Uber Maps and Business Platforms, also announced his resignation at the end of March.

  This year alone, Uber has lost about 10 senior executives including the president, director of public relations, chief of finance, head of autonomous driving, senior vice president of engineering, head of artificial intelligence lab, vice president of maps, vice president of global automotive projects, president of Asian business and vice president of product and growth.

  Something to see

  How far can Uber, supported by financing, go?

  Founded in 2009, Uber is one of the world's well-known unicorn companies. The current valuation exceeds US$60 billion. Uber's revenue in the first quarter of 2017 was US$3.4 billion, and its net loss was US$708 million.

  According to statistics from CrunchBase, investment data statistics website, Uber has raised about US$12 billion in total.

  As Uber's workplace scandal grows, the number of insiders seeking to sell shares has been reportedly difficult to find buyers. In the view of independent IT analyst Tang Xin, there is little room for Uber to continue to operate in the capital market in the future, and investors are gradually losing confidence.

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