Block to cut 40% of workforce as AI continues to reshape job markets
Block, the fintech company behind Square, Cash App and Afterpay, will reduce its workforce by nearly 40%, Qazinform News Agency reports.
The move will eliminate more than 4,000 positions, bringing the company’s total headcount to just under 6,000.
In a statement to shareholders and employees, co-founder Jack Dorsey said the decision reflects structural changes driven by artificial intelligence and the company’s long-term strategy.
Dorsey said he chose to take “a hard, clear action now” instead of cutting staff “gradually over months or years,” arguing that repeated rounds of layoffs can damage morale and focus.
According to the statement, affected employees will receive at least 20 weeks of salary, additional compensation based on tenure, equity vested through the end of May, six months of healthcare coverage and a $5,000 transition payment.
The announcement comes amid a broader wave of workforce reductions across the technology sector as companies integrate AI into operations.
Earlier, Qazinform reported that Australian software firm WiseTech Global and other tech companies also announced job cuts linked to AI adoption.