Block Inc., Co-Founded by Twitter's Jack Dorsey, Announces Significant Layoffs for Cost Efficiency

In a recent report by Business Insider dated January 30th, Block Inc. took a bold step by laying off a substantial number of its team members in a bid to optimize its financial operations. The layoffs affected employees across various divisions of the Block company, including those working on the Cash, Foundational, and Square arms applications, accounting for approximately 10% of the entire workforce.

Jack Dorsey, in a message to Block employees, stated, "We decided it would be better to act swiftly rather than randomly distributing them, which seemed unfair to individuals or the company as a whole. When we know we need to take certain actions, we want to take them immediately, not let things drag on indefinitely."

Several former Block employees have posted farewell messages on LinkedIn. Shane Bullak, who worked as an Internal Mobility Manager at the firm since March 2023, added, "Am I surprised? Not entirely - the company warned us about upcoming layoffs towards the end of last year, but of course, I was hoping against hope that my team and I wouldn't end up on the chopping block. Sadly, it's our turn on the cutting board."

Block Inc. reported revenue of $5.62 billion for the third quarter of 2023 with a profit of $44 million from its Bitcoin assets. Over the past three months, several prominent American companies have announced similar layoffs as part of cost-cutting efforts, including asset manager BlackRock, live streaming platform Twitch, and PayPal.