Uber's CEO takes temporary leave amid attempts to reset corporate culture

Uber CEO Travis Kalanick on Tuesday informed workers that he'll be taking an indefinite leave of absence from the ridesharing company, which is struggling to remake itself in light of complaints about a broken internal culture.

Kalanick should eventually return, but at that point will have some of his duties handed to a chief operating officer the company has yet to recruit, Bloomberg reported. In the meantime, Uber will be run by a management committee.

Kalanick's departure was motivated partly by the company's problems, but also by the recent death of his mother in a boating accident.

The company held a staff meeting on Tuesday, in which it revealed 47 recommendations stemming from a probe by former U.S. Attorney General Eric Holder. Some of these include a board oversight committee, changes to corporate values, less alcohol at official events, and a ban on intimate relationships with bosses.

Those recommendations were approved on Sunday, and on Monday the company removed Emil Michael, its controversial senior VP of business who among other things once suggested building a team to dig up dirt on critical journalists.

Uber has also been dealing with accusations of sexual harassment, discrimination, and using underhanded tactics against competitors or even governments. One internal app — "Greyball" — once helped drivers avoid government officials in cities where the service wasn't legal.

To deter fraud, the company at one point began collecting UUIDs of iOS devices with the Uber app, hoping to deter people fradulently claiming new account bonuses. This led to a direct confrontation between Kalanick and Apple CEO Tim Cook, since the practice violated App Store rules.

The shakeup at Uber could continue, since a separate probe is reviewing 215 human resources claims, and has already led to over 20 people being fired.

Recently the company recruited Bozoma Saint John — Apple's former head of Global Marketing for Apple Music and iTunes — to serve as a "chief brand officer" who will reshape its public image.

11 Comments

tallest skil 43086 comments · 14 Years

About 7 years ago

corporate culture
Found your problem. As much as a corporation is not itself a person, it is also not itself a culture. Homogeny of existing cultural system within a corporation is the best way to ensure productivity and cost-effectiveness. You only get these problems when you try to artificially create a "culture" for said company that operates at odds with the persons who comprise it.

Fun fact: you're always, definitionally, going to have a "broken internal culture" if you follow a specific rule. I think we all know what I'm talking about. I don't have to say it, do I? Even if you don't want to admit it to yourself, you know what I'm talking about.

78Bandit 238 comments · 7 Years

About 7 years ago

Nothing more than corporate smoke-and-mirrors in an attempt to get the IPO going. Uber doesn't care one iota about its customers and drivers. The only concern of management is ensuring they get their maximum payout in a relatively short time after going public. I don't see any of them with the character of Steve Jobs or Bill Gates who loved doing what they did. These clowns are only in it for the multi-million dollar payday, and once that is over you'll see them jump ship as fast as possible.

SpamSandwich 32917 comments · 19 Years

About 7 years ago

The Bozoma hire by Uber could potentially actually be Apple sending their "Manchurian candidate" into Uber to infiltrate the organization... :D

StrangeDays 12960 comments · 8 Years

About 7 years ago

tallest skil said:

corporate culture
Found your problem. As much as a corporation is not itself a person, it is also not itself a culture. Homogeny of existing cultural system within a corporation is the best way to ensure productivity and cost-effectiveness. You only get these problems when you try to artificially create a "culture" for said company that operates at odds with the persons who comprise it.

Fun fact: you're always, definitionally, going to have a "broken internal culture" if you follow a specific rule. I think we all know what I'm talking about. I don't have to say it, do I? Even if you don't want to admit it to yourself, you know what I'm talking about.

i for one have no idea what you're talking about.

And as an staffer and consultant in tech for twenty years, including household brands and dot com era start ups, I can tell you corporate culture is a real thing. Just as culture exists in any city, university, frat, or club -- wherever there are collections of humans, there is a culture. It is defined by those who comprise it. Some cultural traditions are more revered than others.