Jack Dorsey’s fintech company, Block, is notably reducing its workforce by nearly 50%, from over 10,000 employees to just under 6,000. In a recent announcement, Dorsey attributed the layoffs to the accelerated adoption of artificial intelligence (AI) tools, emphasizing that the firm is not in financial distress; instead, it continues to experience growth in gross profit and customer base. The layoffs, affecting more than 4,000 employees, are a strategic move to streamline operations rather than a sign of trouble. Dorsey opted for immediate action to prevent prolonged rounds of layoffs, which can harm morale. Affected employees will receive generous severance packages, including 20 weeks of salary and healthcare support. Block, formerly known as Square, rebranded to reflect its diverse services, including blockchain. As AI advances continue to reshape industries, Block is pivoting to integrate intelligence into its core operations.
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