Uber CEO Travis Kalanick will temporarily step away from running the embattled ride-hailing company as he grieves the recent death of his mother, he told employees in an email Tuesday morning. “Recent events have brought home for me that people are more important than work, and…
Uber CEO Travis Kalanick will temporarily step away from running the embattled ride-hailing company as he grieves the recent death of his mother, he told employees in an email Tuesday morning.
“Recent events have brought home for me that people are more important than work, and that I need to take some time off of the day-to-day to grieve my mother, whom I buried on Friday, to reflect, to work on myself, and to focus on building out a world-class leadership team, ” he wrote in the company-wide email.
Kalanick’s mother was killed late last month in a boating accident that also seriously injured his father.
Uber has been beset by a string of scandals this year, many related to the hard-charging corporate culture fostered by Kalanick.
A report from former Attorney General Eric J. Holder was presented to employees on Tuesday. The product of a months-long inquiry, it outlines how the company can respond to allegations of sexism and other workplace issues. Uber’s board already voted unanimously to accept the report’s recommendations in a seven-hour emergency meeting on Sunday.
The report says that Kalanick’s responsibilities should be reevaluated, with some given to other members of senior management. Nevertheless, Kalanick’s leave of absence appears separate from the controversies.
Kalanick wrote that the executives immediately under him would assume charge of the company — although many of the company’s top executives have recently left. Uber is current looking for a chief operating officer (a new position designed to complement Kalanick) , a chief financial officer, a general counsel and a chief marketing officer. Emil Michael, a close confidant of Kalanick, stepped down as chief business officer on Monday.
“During this interim period, the leadership team, my directs, will be running the company. I will be available as needed for the most strategic decisions, but I will be empowering them to be bold and decisive in order to move the company forward swiftly, ” Kalanick wrote.
Some investors said Tuesday they are certain the board will keep the company on track, and that they retain confidence in Kalanick.
“I do not think Travis is going anywhere and don’ t think he should, ” said Mitchell Green, a principal at Lead Edge Capital, which invested in Uber in early 2015. “He should run the company. He’s built an enormous company, and he lives and breathes this. But could he use a coach? Yes.”
Kalanick did not say how long the leave would last. “It’s hard to put a timeline on this – it may be shorter or longer than we might expect, ” he wrote. “Tragically losing a loved one has been difficult for me and I need to properly say my goodbyes.”
