Block Cuts 931 Jobs, 8% of Workforce

Jack Dorsey, CEO of Block, announced the layoff of 931 employees, roughly 8% of the company's workforce, in an email outlining the reasons behind this drastic decision. The layoffs were categorized into three areas: 391 employees deemed 'off strategy,' 460 for underperformance, and 80 managers whose positions were eliminated to streamline the organization. Dorsey emphasized that the cuts were not aimed at meeting financial targets or replacing workers with AI, but rather to adapt to the company's evolving strategic needs and improve overall performance. He expressed urgency in making these changes, stating that the company was 'behind in our actions' and needed to act swiftly to keep pace with industry transformations. Additionally, Block is closing the majority of its 748 job openings, retaining only key leadership roles. The abrupt nature of the layoffs has reportedly shocked employees, as Dorsey preferred a direct approach without extensive performance reviews.