Published: Mon, June 19, 2017
Business | By Max Garcia

Uber board to adopt recommendations of Eric Holder investigation

Uber board to adopt recommendations of Eric Holder investigation

The company hired former United States attorney general Eric Holder in February after an ex-engineer penned a blog post about the "strange" year she experienced while at Uber.

Holder's report is expected to be shared with Uber's employees this Tuesday.

The team also comprised of US Attorney General Eric Holder and Tammy Albarran, both partners at Covington and Burling, a law firm.

The Uber Technologies Inc. board of directors announced it voted to approve all recommendations in a probe of alleged workplace sexual harassment. Additionally, the board also discussed the possible departure of some of Kalanick's top executives like business chief Emil Michael. In the last four months, Uber lost a president and the heads of its autonomous driving unit, finance, mapping, policy, software engineering, and product and growth. Now, the board of directors has to make a decision on how to responsibly manage the structure of a company that's privately valued at nearly $US70 ($93) billion. However, the possibility of Kalanick taking a leave of absence has triggered a leadership crisis within the company.

Uber has fired more than 20 employees for infractions including sexual harassment and discrimination.

While Kalanick's position in the company is relatively safe considering the "founder-friendly" governance structure at Uber, that of his allies might not be.

In February, former Uber engineer Susan Fowler wrote on a blog that she had been propositioned by her boss in a series of messages on her first day of work and that superiors ignored her complaints. Having joined Uber from Klout in 2013, Michael oversaw Uber's broader business strategy, including partnerships and fundraising.

Senior vice president and close Kalanick ally Emil Michael has left the company, the source added. The most recent scandal came last week, with the revelation that a former senior executive kept and showed the medical records of an Uber passenger raped by her driver in India three years ago.

Uber confirmed Michael's departure but declined to comment further. Earlier this year, Kalanick acknowledged that his style of management had to change, with Kalanick admitting that he needed to "fundamentally change and grow up".

With just seventeen days before ride sharing companies begin to make their trips across upstate NY, one of the big business ventures, Uber, is making changes - and possibly not for the better.

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