Uber CEO Travis Kalanick's wings to be clipped? Board mulling his temporary leave of absence

The move would likely scale back Travis Kalanick's involvement with the firm and destabilise the firm's leadershipReuters/Shu Zhang

Uber's board of directors is reportedly considering a three-month leave of absence for CEO Travis Kalanick. As the ride-hailing firm continues to be embroiled in a series of scandals and controversies, including accusations of turning a blind eye to alleged sexual harassment in the workplace, Uber is now reportedly mulling introducing sweeping changes to its policies.

The board reportedly also discussed the possibility of Kalanick returning to the firm with diminished authority and responsibilities. Reuters cited an unspecified source familiar with the matter as saying that Kalanick may be stripped of his CEO position or may remain CEO but with fewer responsibilities and subject to enhanced oversight.

The New York Times reported that Uber's board "unanimously voted" to adopt all of the recommendations put forward by former attorney general Eric Holder, who was tasked with investigating the firm's culture.

Advertisement

The move would likely scale back Kalanick's involvement with the firm and destabilise its leadership. The embattled executive reportedly proposed taking some time off last month, after a boating accident killed his mother and severely injured his father.

Uber and Kalanick are yet to comment on the matter.
Reports of Kalanick's possible temporary absence from Uber come after the firing of several employees. The company confirmed that it fired 20 people over a range of issues, including sexual harassment and bullying.

Among the troubles the company is currently facing are a legal dispute over intellectual property with Google's Waymo and a Justice Department probe into the use of law-enforcement evading technology.

However, according to reports, given the way Uber is structured, Kalanick's role is considered to be secure. The firm's CEO and two of his close allies reportedly have voting control of the firm and this will also most likely ensure that his position in Uber remains secure even in the event that he takes leave of absence.

© Copyright 2017 IBTimes Co., Ltd. All Rights Reserved.