PayPal announces layoffs of 2,000 employees

PayPal announced on Tuesday the layoffs of 7,000 employees, about 7% of the workforce. The information was disclosed by the president and CEO of the company, Dan Schulman.

THE announcement from the company sent to an employee cites the same justifications used by tech giants, such as Google and Amazon, when it mentions that in 2022, PayPal sought to “strengthen and reformulate the company to address the challenging macroeconomic environment.”

The chief executive says that despite “substantial progress” in cost structure, resource concentration and strategic priorities, employee layoff measures have had to be taken to reduce costs.

“Dealing with these changes requires us to make tough decisions that will affect some of our colleagues. I write today to share the difficult news that we will be reducing our global workforce by approximately 2,000 full-time employees, which represents approximately 7% of our total workforce,” Schulman wrote.

In the email sent to employees, the CEO informs that the closures will take place in the coming weeks, with some areas of the company more affected than others.

PayPal’s announcement is expected to end the wave of layoffs in January, a month full of layoffs at tech companies.

Earlier this month, Amazon announced it was laying off 18,000 employees; SalesForce fired 8,000; cryptocurrency exchange Coinbase announces layoff of 25% of employees; Microsoft fired 10,000; Google fired about 12,000; Spotify about 600 employees; and German software company SAP laid off about 3,000 employees last week.

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The PayPal post announcing the layoff of 2,000 employees appeared earlier in Olhar Digital.

Source: Olhar Digital