San Francisco, February 3: The US-based car-sharing company Getaround has announced laying off about 10 per cent of its workforce with immediate effect. The layoffs are part of a restructuring aimed to put Getaround on the path to "sustainable profitability and long-term growth", according to the company.

The restructuring plan will also include significant reductions to other operating expenses, including reducing the company's contract workforce, and outside professional services. Tesla Layoffs: Elon Musk-Run Electric Car Maker Company To Sack 10% Employees in Early 2023, Pauses All Hiring.

"In response to an uncertain near-term macroeconomic outlook, which has hit technology companies particularly hard, Getaround has made the decision to streamline its operations," Sam Zaid, Getaround CEO, said in a statement.

"These proactive changes include a difficult, but necessary, reduction in our North American workforce. Through these changes, we will maintain and prioritise Getaround's spirit of innovation and long-term focus on profitably growing our global marketplace at a measured and efficient pace, while, at the same time, optimise the Company's underlying cost structure," he added. Rivian Layoffs: EV Car Maker To Slash 6% of Its Workforce, CEO RJ Scaringe Announces Sackings in Email to Employees.

Moreover, the car-sharing company said that this revised global business strategy is intended to fortify Getaround's path to achieving sustainable profitability and long-term growth. These reductions in the company's operating expenses are expected to result in annualised cost savings of between $25 and $30 million.

"While this was a necessary step to maintain financial health and the long-term success of Getaround, with much sadness, I want to say thank you to our departing colleagues for your contributions, the energy you have brought to the team, and the impact you have had building Getaround into a global marketplace," said Zaid.

(The above story first appeared on LatestLY on Feb 03, 2023 02:20 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).