Big tech seems to be laying off left and right due to the global economic downturn and the challenges ahead in this area. Amazon laid off 18,000 workers, Microsoft cut its workforce by 10,000, Google laid off 12,000 employees, and IBM eliminated 3,900 roles, among many other firms. PayPal has now become one of the latest firms to join this growing list.
PayPal has announced that it is laying off a staggering 2,000 employees in the coming weeks. This number is about 7% of its workforce. CEO Dan Shulman has assured victims that they will be offered generous packages and the support they need in this transition. Schulman noted:
Over the past year, we have made significant progress in strengthening and reshaping our company to meet the challenging macroeconomic environment while continuing to invest in meeting the needs of our customers. While we have made significant progress in correcting our cost structure, and focusing our resources on our core strategic priorities, we have more work to do. We must continue to evolve as our world, our customers, and our competitive landscape evolve.
Bloomberg reports That the payments company is laying off employees and closing physical offices to cut operating costs is something the CEO has been vocal about recently.
Like most tech companies, PayPal saw a spike in economic growth during the pandemic as people began shopping online more often, using PayPal as their payment platform. Now that purchasing patterns are returning to normal, the firm is reducing its headcount in response.
