The staff reductions now represent about a quarter of Uber's workforce.
The company said trip requests had plummeted 80 per cent globally and it lost almost US$3 billion last month. Cities including San Francisco and NY, which have multiple Uber offices, will consolidate those spaces when workers return after lockdown orders have lifted. These would include the office at Pier 70 in San Francisco.
He did not, however, specify the new market which they were supposedly moving to.
The news saw Uber's share price rise more than 8 percent on Monday.
Uber estimates it will incur 175 million to 220 million dollars (£143 million to £180 million) in charges related to the restructuring, including severance, other benefits and office closing costs, according to a federal filing. Overall, the measures are expected to generate $1 billion in annual cost savings compared with pre-pandemic budget plans. As a result, he said, even this week's retrenchments may not be enough.
"It's the first time I've ever run an ad asking people not to use our service", he said during a company briefing over the weekend.
The company shuttered seven food delivery operations, offloaded its cash-burning electric bike group to scooter startup Lime and permanently closed 40 percent of its driver stations.
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It opened its Asia-Pacific hub at Frasers Tower in Cecil Street in April past year to support its operations in India, Bangladesh, Sri Lanka, Japan, South Korea, Taiwan, Hong Kong, Australia and New Zealand.
Even in locations where business is strong, some smaller offices will be folded into larger ones. "People are rightly staying at home and our ride activity, our main generator of profits, has gone down by about 80%". Airbnb Inc.is cutting a quarter of its workforce.
The cuts will not affect Uber drivers.
A bright spot was Uber Eats.
Khosrowshahi also said that Uber, which has been struggling to turn a profit since going public a year ago, would be scaling back its artificial intelligence lab and product incubator, and would be re-evaluating costly endeavors like freight and self-driving vehicles, according to the report.
"We are making these hard choices now so that we can move forward and begin to build again with confidence, Khosrowshahi said".
Read Khosrowshahi's full email to staff here. As of May 12, Uber had only indicated that 52 of its initially announced 3,700 job cuts were in the Bay Area.