PayPal Announces 9% Reduction in Global Workforce Amid Intensifying Competition
There are reports that PayPal is reducing its workforce by 9%, which amounts to about 2,500 jobs. The decision is attributed to the need to "right-size" the company in response to increasing competition from rivals such as Apple, Zelle, and Block.
The company's CEO, Alex Chriss, stated that the job cuts would affect both existing roles and open positions. This move comes after a year of declining share prices, with investors hoping for a turnaround under Chriss's leadership.
Several sources are highlighting the broader trend of job cuts in the technology sector, with tens of thousands of layoffs reported across various tech companies.
The layoffs are part of PayPal's efforts to drive more focus and efficiency, deploy automation, and consolidate technology to reduce complexity and duplication.
The company's share price has fallen by nearly 20% since the start of the year, and its third-quarter net income plunged 23% compared to the year-ago period