(The Hill) — Lyft is laying off 13 percent of its employees, the ride-hailing service announced Thursday, citing inflation strains and recession fears. 

“There are several challenges playing out across the economy. We’re facing a probable recession sometime in the next year and rideshare insurance costs are going up,” co-founders Logan Green and John Zimmer said in a memo to Lyft team members. 

“We worked hard to bring down costs this summer: we slowed, then froze hiring; cut spending; and paused less-critical initiatives. Still, Lyft has to become leaner, which requires us to part with incredible team members,” the memo read. 

In addition to the layoffs, the company is also selling its first-party vehicle service business.  

Lyft laid off around 60 employees this July amid growing economic concerns and froze all hiring in September, according to Reuters. 

Tech companies like Amazon, Meta, Netflix and Google parent Alphabet have been working to cut costs, with some announcing layoffs and instituting hiring freezes as the U.S. continues to feel the pressures of high prices and the looming possibility of a recession. 

The online payment giant Stripe on Thursday announced it would lay off 14 percent of its workers.

“We are not immune to the realities of inflation and a slowing economy,” the Lyft co-founders said.  

However, they said they are “confident” about the company’s overall trajectory.