Travis Kalanick Net Worth: Uber CEO Takes Leave Of Absence After Sexual Abuse Probe, Mother's Death
Uber CEO and co-founder Travis Kalanick said in an email obtained by Buzzfeed Tuesday he will take a leave of absence. His move comes after the conclusion of an internal investigation into the company over sexual abuse allegations, and the death of Kalanick’s mother.
In the email, sent to Uber employees, Kalanick said he needed to work on himself.
"If we are going to work on Uber 2.0, I also need to work on Travis 2.0 to become the leader that this company needs and that you deserve," he said.
Read: Uber CEO Travis Kalanick's Troubling Times Continue As Mother Killed In Boating Accident
The CEO also emphasized he is departing to grieve his mother, who died in a boating accident.
“For the last eight years, my life has always been about Uber,” Kalanick said in the letter. “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.”
Kalanick did not specify how long he will be gone for.
“It’s hard to put a timeline on this — it may be shorter or longer than we might expect,” he said. “Tragically losing a loved one has been difficult for me and I need to properly say my goodbyes.”
Kalanick said Uber’s leadership team will run the company during his absence. He said he will be “available as needed for the most strategic decisions,” but will be “empowering them to be bold and decisive in order to move the company forward swiftly.”
How Much Is Travis Kalanick Worth?
As of Tuesday, Kalanick had a net worth of $6.3 billion, Forbes reported. The 40-year-old who dropped out of University of California, Los Angeles, was ranked No. 4 in Forbes’ 2015 list of America's Richest Entrepreneurs Under 40.
Uber’s financial data, revealed to Bloomberg in April, show the company is generating revenue but also burning through cash rapidly. The ride-hailing company more than doubled gross bookings to $20 billion last year, compared to 2015. Out of the $20 billion, Uber made $6.5 billion, excluding its China business, which was sold last year.
The company also lost $2.8 billion (also excluding China). The numbers show Uber is losing money, but the figures also show the startup is producing revenue.
“We’re fortunate to have a healthy and growing business, giving us the room to make the changes we know are needed on management and accountability, our culture and organization, and our relationship with drivers,” Rachel Holt, regional GM at Uber, said at the time.
Read: Elon Musk Turned Down Tesla-Uber Partnership Offer Made By Travis Kalanick, New Book Says
Uber Scandals, Sexual Abuse
Kalanick’s departure comes after the end of a probe into the company led by former U.S. Attorney General Eric Holder. The investigation was launched after a former employee wrote a blog post detailing her sexual harassment experience at the company.
Uber said Tuesday the recommendations from the law firm investigating the matter were presented to employees and approved unanimously by the board on Sunday.
“Implementing these recommendations will improve our culture, promote fairness and accountability, and establish processes and systems to ensure the mistakes of the past will not be repeated,” the company said in a statement. “While change does not happen overnight, we’re committed to rebuilding trust with our employees, riders and drivers.”
Besides sexual abuse allegations, Uber has also been hit by other scandals. The New York Times released an article in February detailing instances of cocaine use, homophobic verbal abuse and harassment at Uber. The company was also under fire after a video surfaced of Kalanick arguing with a driver, as well as Uber’s Greyball tool, which collected data to evade authorities and operate its services illegally. Uber also was hurt by the #deleteUber campaign earlier this year and its dispute with Waymo over self-driving technology.
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