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Lyft Is Shifting Gears, Reducing Its Workforce And Turning To Deliveries

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Lyft is laying off and furloughing thousands of its employees as it struggles to cope cash flow problems caused by the coronavirus pandemic. Aside from the 17% cut of its workforce, Lyft is also implementing a 20% to 30% salary reduction for their vice presidents and executives respectively.

The ongoing pandemic has significantly decreased the demand for rides. It has, however, has the opposite effect on the demand for deliveries. As people are compelled to stay home or travel much less, the demand for deliveries has dramatically surged. According to the United States Postal Service (USPS) and other couriers such as FedEx and UPS, they are now processing approximately 40% more packages than they did during the Christmas season.

As the demands change, Lyft is also restructuring to have their drivers deliver to homes and businesses. Lyft’s “Essential Deliveries” service provides deliveries of food, groceries, home necessities, medical supplies, and alike. This initiative is a new way to keep their drivers earning and is also an opportunity for them to help the community.

About the Author
Rodney Mesriani
Rodney Mesriani

Rodney Mesriani is the principal partner of the Los Angeles and Santa Monica based Mesriani Law Group. He specializes in personal injury and employment law while also being an accomplished litigator and trial attorney. Rodney is an aggressive negotiator and a well-known and respected attorney in the areas of practice he specializes in.

He earned his Bachelor of Science degree in Accounting from California State University Northridge before attending Southwestern School of Law where he received his Juris Doctorate. While being an accomplished personal injury and employment lawyer, Rodney Mesriani has made it a point to attend numerous State Sponsored MCLE events and seminars over the years as a law practitioner to be informed of the latest laws and litigation strategies.



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