Uber Technologies: Wrongdoing and Corporate Reputations
In September 2017, Uber Technologies Inc. hired a new chief executive officer with instructions to prepare the company for an initial public offering and repair its internal culture and reputation. By the end of 2019, however, the company's past wrongdoings were continuing to haunt the organization. The new leader had to deal with ongoing legal issues related to driver classification and a new ruling in the US state of California that would require drivers to be paid minimum wage and receive sick days and health benefits. The company also faced accusations by a former manager who claimed that employees had engaged in questionable tactics to steal trade secrets. The public learned that the company had paid US$100,000 to hackers to conceal a November 2016 data breach, which exposed the personal information of 57 million riders and drivers. In July 2019, Uber Technologies Inc. came under investigation by the US Equal Employment Opportunity Commission over accusations of gender discrimination. Later that year, its license to operate in London, UK was revoked. Almost 18 months into the new leader's tenure, the path to repairing the company's character reputation and struggling market value was still not clear.