Uber to lay off thousands of employees

Uber is laying off 3,700 employees as the coronavirus pandemic drives down demand for its service, the company announced Wednesday.

The layoffs in its customer support and recruiting teams account for roughly 15 percent of the ride-hailing giant’s total workforce, according to recent estimates.

Uber expects to spend approximately $2 million on severance and related termination benefits.

In addition to the layoffs, CEO Dara Khosrowshahi is waiving his base salary for the remainder of 2020.

Uber’s investors expect to get a clear picture of the company’s finances when it reports earnings on Thursday.

The coronavirus pandemic has hit the ride-hailing industry hard as many Americans are staying home.

Demand for rides has cratered, leading Lyft to lay off roughly 17 percent of its corporate workforce late last month.