Umair
Fintech giant Block has reportedly laid off over 930 employees, as part of a restructuring effort following weak Q4 earnings.
Jack Dorsey’s fintech provider Block has laid off 931 employees, representing about 8% of its workforce, just a month after it reported weaker-than-expected revenue and profit figures for Q4, according to an internal email disclosed by TechCrunch.
In the message, Dorsey reportedly told staff that Block was “making some org changes, including eliminating roles and beginning the consultation process in countries where required.” Dorsey declined to tie the layoffs to the unsatisfied financial results, stating that they are aimed at aligning with strategic priorities, addressing performance, and flattening the company’s hierarchy.
“none of the above points are trying to hit a specific financial target, replacing folks with AI, or changing our headcount cap. they are specific to our needs around strategy, raising the bar and acting faster on performance, and flattening our org so we can move faster and with less abstraction.”
Jack Dorsey
Per the Block CEO, the company is slashing 391 positions due to “strategy” reasons, while 460 employees were let go for “performance” issues. Dorsey also noted that the company is parting ways with those who had a “below” rating or were trending toward it in Block’s internal performance metrics. Another 80 managerial roles were eliminated as part of efforts to streamline operations, while 193 managers were moved to individual contributor roles.
Block is also closing 748 open positions, except for those in critical operations, key leadership, and roles that have already reached the offer stage, Dorsey added in the email. In early 2024, Block also laid off around 1,000 employees and as of December 2024, the company had roughly 11,300 staff worldwide. As of press time, Block made no public statements on the matter.
In late February, Block’s Q4 earnings report missed Wall Street’s expectations. The company disclosed adjusted earnings per share of 71 cents, below the 87 cents forecasted, and revenue of $6.03 billion, missing the expected $6.29 billion.
