Can Uber repair its reputation once and for all?
SAN FRANCISCO» The day after he became chief executive of Uber almost one year ago, Dara Khosrowshahi met with company employees. While he introduced himself, and talked about what he hoped Uber could accomplish, he also didn’t mince words about the reality facing the ridesharing giant.
“We’re in a battle here and I think everybody knows it,” Khosrowshahi said during the meeting. “And right now Uber is in some trouble as far as public perception goes.”
Today, that battle is taking on signs of a war of attrition.
Since joining Uber, Khosrowshahi has made notable efforts to clean up the company’s reputation as a haven of bro culture, where reports of workplace harassment and discrimination were commonplace. But the “new” Uber has also taken some painful steps backward, as embarrassing situations involving company executives continue to hamper its internal and public recovery.
As part of his efforts to put a new face on Uber, Khosrowshahi has appeared in television ads to emphasize the company’s commitment to respect for its employees and customers.
But a series of incidents in July alone illustrates how much work Uber still faces to repair its public image.
Liane Hornsey, Uber’s head of human resources, stepped down last month following reports that she had dismissed looking into some cases of reported racial discrimination at the company.
At the time of Hornsey’s resignation, Khosrowshahi, in an internal Uber note acquired by the Mercury News, called Hornsey “incredibly talented, creative and hardworking” and noted her accomplishments, which he said included “revamping our recruiting and hiring processes to reduce bias; and greatly expanding our employee resource groups.” There was no mention of her work on racial discrimination claims in Khosrowshahi’s note.
On the heels of Hornsey’s departure, COO Barney Harford became the target of internal company complaints after he made remarks about women and minorities, including his questioning of an Uber ad that featured a mixedrace couple. Harford is still with Uber.
In a statement, Khosrowshahi admitted that the company continues to stumble in attempts to revamp itself.
“Cultures are not built or rebuilt overnight. People learn, companies learn, CEOS learn,” Khosorowshahi said. “We’ll make mistakes along the way, but one thing is certain: we will improve, substantially.”
Also, the New York Times reported that Uber is under federal investigation for discriminating against women in hiring and pay levels.
The spotlight on Uber was at its sharpest in February 2017, when Susan Fowler, a former company engineer, published a blog post on Medium. In it, she outlined allegations of sexual harassment against an Uber manager who was protected by the company’s human resources team. Reports emerged of drugfueled company parties and advice from thenceo Travis Kalanick on how to approach coworkers for sex. And Kalanick did himself no favors when, also in February 2017, a video surfaced showing him verbally berating an Uber driver who had asked him why the company had dropped some of its service fares.
Uber’s board then commissioned an investigation into the company’s internal operations and workplace environment. That report, which was headed up by former U.S. Attorney General Eric Holder, provided 47 recommendations for Uber, which included reallocating Kalanick’s responsibilities, increasing the profile and status of the company’s diversity head and regularly publishing statistics about Uber’s diversity makeup.