- Block, a San Francisco-based payment solutions specialist, is implementing job cuts across its Cash App, Square, and foundational teams.
- Block CEO Jack Dorsey confirmed in a memo that a significant number of positions, estimated around 1,000 or 10% of the company’s total headcount, will be eliminated.
- Cash App will see cuts in its global, marketing, and commerce teams, affecting various disciplines across the platform.
- Square, the SME payments platform, will experience reductions in its marketing, creative, and primary markets monitoring teams.
- Block’s foundational department, responsible for core operations, will focus on restructuring and reducing layers of management to address redundancies.
- The job cuts will be immediately implemented, with Dorsey stating that a phased approach didn’t seem fair to individuals or the company.
- Block had previously hinted at its plans during the Q3 earnings call, announcing a cap of 12,000 on its total headcount by the end of the year.
- In Q3, Block reported a 24% YoY increase in revenue, reaching $5.62 billion, with Cash App’s revenues climbing 34% to $3.58 billion.
- The move follows a trend in the tech industry, with other companies like PayPal also announcing significant global headcount reductions.
