Uber in management shake-up as workplace scandal deepens

13/06/2017

Uber's CEO Travis Kalanick is rumoured to be taking a leave of absence for several months, amid accusations of discrimination and cut-throat practices at the taxi app firm, accoridng to a new report.

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The news comes as Emil Michael, a senior vice president, is stepping down a day before the results of a far-reaching inquiry into the firm's management and workplace culture are made public.

A Reuters report also suggests Uber chief executive Travis Kalanick is also likely to take a leave of absence.

Reuters quotes a source saying that the board will discuss Kalanick taking time off from the company. The discussion involved the possibility that Kalanick might return in a role with less authority, this person said, either in a position other than CEO or as CEO with narrower responsibilities and subject to stronger oversight.

On Sunday, the board voted unanimously to adopt all of the recommendations made by a law firm hired to investigate deep-seated cultural problems at Uber, which has been rocked by allegations of sexual harassment, bullying and discrimination.

The recommendations made by former attorney general Eric Holder are set to be released later today (Tuesday).

Last week, Uber fired 20 employees after 215 harassment complaints were reviewed by another law firm in a separate investigation.

Under Kalanick, the Uber app has revolutionised the taxi industry in hundreds of cities. Now valued at close to $70bn (£55bn), it has fast become the world's most valuable start-up.

However, the chief executive has acknowledged that his management style requires improvement - with the 40-year-old recently admitting he needed to "fundamentally change and grow up".

Earlier this year, Kalanick made headlines after a dashcam video recorded him losing his temper with an Uber driver who had complained about pay.

He has recently spent time away from the business after his mother died in a boating accident in May.

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