Lyft, Inc LYFT froze hiring in the U.S. through the end of the year.
Lyft, which cut 60 jobs in its rental division in July, combated surging expenses as U.S. inflation reached record highs, Reuters reports.
The number of Lyft’s full-time employees increased from 2,708 as of December 31, 2017, to 5,000 as of June 30 , 2022, a regulatory filing shows.
Lyft said its costs jumped 35.6% in its most recent quarter.
Several tech companies slashed headcount in recent months.
Lyft’s larger rival Uber Technologies Inc UBER , also eased down hiring and cut marketing spending.
Lyft posted a record quarter in August on the back of soaring demand for rides and gains from its cost-cutting efforts.
However, Lyft warned that challenges would persist in the third quarter due to high insurance costs, macroeconomic uncertainty, and inflation.
Companies ranging from Microsoft Corp MSFT to Alphabet Inc GOOG GOOGL Google emphasized cost-cutting and slowing down on hiring to beat the macro headwinds.
Contrastingly companies like Palantir Technologies Inc PLTR and American Express Co AXP ramped up hiring to meet their ambitious sales targets.
Price Action: LYFT shares traded lower by 3.60% at $13.65 in the premarket on the last check Wednesday.
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