Jack Dorsey’s company, Block (formerly known as Square), is reportedly preparing for a significant round of layoffs in the near future. Reports suggest that this financial technology platform could reduce its workforce by up to 10% following its upcoming annual performance reviews. Given that Block currently employs close to 11,000 people, these potential cuts could impact hundreds of individuals. While these job reductions are reportedly part of a larger restructuring effort, the specific reasons behind this overhaul have not been disclosed.
Block Reportedly Set to Cut 10% of Its Workforce
According to a report, the company owned by Jack Dorsey has recently been notifying numerous employees that their positions might be eliminated during the upcoming annual performance review cycle. Sources familiar with the situation indicate that as much as 10% of Block’s workforce could be at risk. With approximately 11,000 employees, this means up to 1,100 people could lose their jobs if these plans move forward.
The exact catalyst for these layoffs remains unclear, but the report mentions that Block is planning a “broader business overhaul.” It is uncertain whether these changes are driven by advancements in artificial intelligence or if the company is simply restructuring specific business divisions.
Block functions as a comprehensive organization overseeing a diverse portfolio of digital, payments-focused services. It is the parent company behind several key entities, including the merchant-focused Square, the popular consumer finance application Cash App, the buy-now-pay-later (BNPL) service Afterpay, and various initiatives centered around cryptocurrency. Notably, the music streaming platform Tidal is also primarily owned by this Jack Dorsey venture.
The company is well-known for operating without a traditional corporate headquarters, a decision made to emphasize the global and decentralized nature of its operations. In January, Block officially updated its NYSE ticker symbol from SQ (which represented Square) to XYZ. The tech firm stated that this change was intended to reflect its evolving identity and its expansion into a wider range of services beyond its initial Square offerings.
It’s worth noting that in 2024, Block reportedly underwent an investigation by US authorities concerning its cryptocurrency business. Regulators are said to have identified several compliance issues within the tech firm, prompting the probe.