Block job cuts: Jack Dorsey to reportedly lay off 931 employees to ‘Enhance Performance’news24

Jack Dorsey, co-founder and former CEO of Block, has announced that the company will be cutting 931 jobs, reported Times of India.

This marks the company’s second substantial workforce reduction in just over a year. The reorganisation will affect employees across its widely used platforms, including Square, CashApp, and Tidal.

According to the publication, Dorsey delivered the news in an internal email to staff on Tuesday, stressing that the redundancies are not financially motivated, nor are they intended to replace human workers with artificial intelligence. Instead, he stated that the cuts are part of a strategic effort to streamline operations, improve performance, and reduce managerial layers.

Performance-driven layoffs

According to the company’s internal breakdown, the 931 job losses will fall into three primary categories: 391 roles will be eliminated as part of a strategic repositioning, 460 employees will be let go due to performance-related concerns, and 80 management positions will be removed to flatten the organisational structure, the report stated.

Additionally, 193 managers will transition into individual contributor roles.

Alongside the layoffs, Block has announced it will be closing 748 open job positions, except for those that have already reached the offer stage, critical operational roles, and key leadership positions.

Urgent restructuring to maintain competitiveness

As per the report, Dorsey underlined the necessity of the restructuring, stating that Block has been slow to act in adapting to a rapidly evolving industry. “We’re behind in our actions, and that’s not fair to the individuals who work here or the company,” he wrote. He also reaffirmed his responsibility to enhance shareholder value, describing the changes as essential to ensuring Block remains competitive.

Reportedly, this latest round of layoffs follows a similar move in early 2024, when the company also cut approximately 1,000 jobs. As of December 2024, Block employed around 11,300 people worldwide.

Dorsey’s message to employees

In his message to employees, Dorsey expressed gratitude to those leaving the company, acknowledging their contributions to its growth. “We must have a very high bar of correctness for us to take any action, which takes iteration and time to get right,” he wrote, adding that he welcomes direct feedback on how the process could be improved.

The report adds that he assured employees that further details on how the changes will affect them individually would follow shortly, reiterating his belief that the restructuring will ultimately enable the company to execute its strategies more effectively.