In the pursuit of sustainable lightweight materials with enhanced mechanical and damping properties, the automotive industry has turned its attention towards composite materials. Among various options, natural fibers have gained significant interest due to their eco-friendly nature and potential for reinforcing composite structures. This research paper focuses on the development and characterization of a hybrid composite material incorporating jute fiber, glass fiber, and rubber, with the aim of achieving improved performance in terms of mechanical and damping properties. The hybrid composite was fabricated using an epoxy resin system (LY556) with a hardener (HY915), mixed at a ratio of 10:1. The rubber was cut into strips and distributed in the composite matrix. Rubber strips were strategically positioned at angles of 0, 30, and 45 degrees within the composite laminate to investigate the effects of fiber orientation on damping and mechanical properties. To evaluate the performance of the hybrid composite, a series of tests were conducted, including vibration testing using Fast Fourier Transform (FFT) analyzer and tensile, compression, and flexural testing using a Universal Testing Machine (UTM). The hybrid composite with a 30-degree orientation of rubber strips within the glass-jute matrix showed the highest damping capacity. Furthermore, this configuration demonstrated the highest failure strain, indicating a more ductile behavior.