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Cruise begins layoffs after suspending its self-driving robotaxis following a collision that dragged pedestrian beneath car

Nov 10, 2023 - businessinsider.com
Cruise, the autonomous vehicle company, has laid off some of its contractors following the suspension of its robotaxi operations. The layoffs come after Cruise lost its robotaxi permit in California due to incidents involving its autonomous cars. The company confirmed the layoffs but did not provide specific numbers or locations. The affected workers were not directly employed by Cruise but were contracted through third-party vendors and staffing agencies.

Cruise's CEO, Kyle Vogt, has also indicated that layoffs involving full-time staff are imminent. The company has been facing challenges recently, having to cut back its operations by 50% shortly after receiving approval to expand its driverless ride services in San Francisco. It also lost its permit in California after a pedestrian was hit by one of its driverless vehicles.

Key takeaways:

  • Cruise contractors have been laid off following the suspension of its robotaxi operations after the company lost its permit in California due to incidents involving its autonomous cars.
  • Cruise's CEO, Kyle Vogt, has indicated that layoffs involving full-time staff are imminent, but the specifics are yet to be determined.
  • The contract workers who were laid off were involved in tasks such as cleaning, charging, and maintaining the fleet of autonomous vehicles.
  • Cruise's operations have been under scrutiny after several incidents involving its vehicles, including one where a pedestrian was dragged beneath one of its driverless vehicles, and internal documents revealed that the company's driverless cars had trouble correctly identifying children.
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