Lyft Inc (NASDAQ:LYFT) announced on Tuesday that it would reduce hiring and evaluate budget cuts in certain departments, following competitor Uber Technologies Inc (NYSE:UBER) in an effort to reduce expenses.
Lyft stated that no staff layoffs are anticipated and noted that qualifying employees will get special stock options.
The corporation stated in a statement, “We’re also being fiscally cautious and will dramatically reduce employment.”
Tuesday’s finish marked a 17.2 percent decrease in Lyft’s stock price, which has fallen over 61 percent this year amid broader declines in tech markets.
Dara Khosrowshahi, the CEO of Uber, announced earlier this month that the business would curtail recruiting and spending on marketing and incentive efforts.