PayPal, a fintech company, has announced plans to cut staff as the economy continues to slow. The company’s supply chain is under strain and share prices are falling.
Thousands of workers were laid off at the start of 2023. The widespread layoffs at tech companies demonstrated that even major players like Google, Microsoft, and Amazon face difficulties brought on by the economic slowdown. In the face of stagnant or declining revenue profits, businesses are taking more stringent measures to control spending and save costs.
Additionally, another tech company has announced that it will reduce its workforce, continuing the strike of layoffs that began in January. PayPal, a fintech company, intends to lay off 2,000 workers.
Due to ongoing economic difficulties, PayPal Holdings, a fintech company, announced on Tuesday that it would be cutting 7% of its workforce.
The decision is made in tandem with the ongoing layoffs that are taking place at Wall Street giants and Big Tech companies to control costs.
“While we have made substantial progress in right-sizing our cost structure, and focused our resources on our core strategic priorities, we have more work to do,” said PayPal’s Chief Executive Dan Schulman in a statement.
“Over the next days and weeks, your leaders will share the specific impacts within your business units and teams.
Our leadership team will communicate regularly and openly. This will be a challenging period for our community, but I am confident we will come through it together with compassion for each other, our values at the fore, and a shared commitment to the future of PayPal,” Schulman further wrote in a memo to employees.
The employees affected by the layoffs will be informed of the decision by their team leaders in the coming weeks.
Employees from all departments at PayPal will be let go, with some organizations being more affected than others.