Online payment company PayPal has announced a plan to eliminate 2,000 employees globally as part of the most recent round of significant industry layoffs.
The corporation claims that 7% of its global staff would be impacted by the choice.
Days after Google announced plans to fire 12,000 of its employees, a new development has occurred.
The decision is inevitable in light of the “difficult macroeconomic environment,” PayPal Chief Executive Officer Dan Schulman wrote in a memo to the company’s workers on Tuesday.
He claimed that the business has made tremendous strides in the previous year toward strengthening and reforming it to confront the difficult macroeconomic climate while continuing to invest to suit the needs of customers.
“We still have work to do, even though we have made significant progress in right-sizing our cost structure and concentrating our resources on our key strategic priorities. As the globe, our clients, and the competitive landscape change, we must also adapt. We must make difficult decisions that will affect some of our colleagues in order to deal with these developments.
According to Mr. Schulman, “today I’m writing to communicate the terrible news that we will be decreasing our global staff by approximately 2,000 full-time employees, or around 7% of our overall workforce.”
The PayPal CEO stated that some organizations may be more negatively impacted than others by these changes, which will take place over the upcoming weeks.
“We will show the utmost respect and sensitivity to our departing colleagues, offer them significant packages, participate in discussions as needed, and assist them in their transitions. I wish to convey my gratitude for their significant contributions to PayPal.
“Change can be challenging, especially when it means saying goodbye to beloved friends and coworkers. Together, with the unmatched scope of our global platform, the strategic investments we have made to bolster our core competencies, and the confidence and steadfastness of our customers, we will tackle this head-on.
Employees of Twitter, Facebook, Amazon, IT company Salesforce, Microsoft, and Google have also seen huge layoffs in the tech sector, and PayPal is the most recent corporation to do so.
Layoffs
Salesforce said earlier in January that 10% of its workforce would be let go.
Less than 1% of Amazon’s global workforce and approximately 3% of its corporate staff were let go last year.
Twitter Inc. reduced its workforce by 50% in November 2022 as advertisers withdrew their support due to worries about content filtering.
Additionally, Facebook’s parent company, Meta, declared it will fire more than 11,000 workers, or around 13% of its workforce.
Additionally, Microsoft disclosed plans to fire about 11,000 of its workers, or about 5% of the total workforce.
Google’s parent firm, Alphabet, revealed plans to fire 6% of its global employees last month.
