PayPal announces layoffs of 2,000 employees
Payment provider PayPal has announced the layoff of around 2,000 employees. In the coming weeks, seven percent of the entire workforce will have to leave the company. Meanwhile, CEO Dan Schulman justifies the layoffs with a “difficult macroeconomic environment”.
PayPal wants to lay off around 2,000 full-time employees worldwide. The company announced this in a official notice on. According to this, around seven percent of the entire workforce will have to leave the company “in the coming weeks”. Meanwhile, PayPal CEO Dan Schulman justified the decision with a “difficult macroeconomic environment”.
PayPal plans to lay off 2,000 employees
Schulman said the company has “made significant progress in streamlining our cost structure and focusing our resources on our core strategic priorities.”
However, there is still a lot to do. As the world, customers and the competitive environment changed, the company was therefore forced to make job cuts. This should happen again in the coming weeks. Some departments are more affected than others.
However, the company has not yet provided any further details. However, Dan Schulman announced that he would make “generous offers” to the affected employees for severance and to support them in the transition. Meanwhile, PayPal executives are expected to provide their teams with details in the coming days.
PayPal stock on the up
With the announced job cuts, PayPal joins a long list of companies that have carried out extensive job cuts. Above all, Amazon, Meta and Google’s parent company Alphabet stand out. Meanwhile, Apple seems to be one of the few big tech companies to be spared a mass layoff.
PayPal was able to exceed its profit and revenue expectations in the third quarter of 2022. However, the stock subsequently fell as guidance for the fourth quarter of 2022 fell short of analysts’ expectations.
The company plans to announce its final results for 2022 on February 9th. The numbers should be decisive for the further development of the PayPal share. Stocks have been on the upswing lately. In the past few days alone (as of February 1, 2023), they have increased by more than three percent.
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