Read Jack Dorsey

According to a leak from the company seen by TechCrunch, the fintech block gave up 931 people, or about 8% of the company’s employees, on Tuesday.

The news was announced to staff via email from Block co-founder and CEO Jack Dorsey. Dorsey told staff that on Tuesday, Block will “make some organizational changes, including eliminating roles and starting the consulting process in countries where it is needed.”

These are the latest changes to Dorsey’s financial services giant owns cash apps and the Plaza. The company provides mobile payment services to consumers, as well as point-of-sale hardware and enterprise software.

Dorsey explained in an email that Block is cutting off the characters in three wide buckets. The first one he listed was that 391 people were laid off for “strategic” reasons.

The second and largest barrel, 460 people are for “performance” reasons, Dorsey explained that Block is rating “under” on the company’s internal performance tracking metrics, or tending toward that.

The third bucket is the manager, 80 of which are cut to structure the Block’s hierarchy to “InterCore+4”, which refers to Dorsey’s direct report, followed by four direct reports, among other things. Dorsey also said 193 managers are moving to individual contributor roles.

Dorsey’s email denies that layoffs were for financial reasons or replaced by AI. Instead, he said the block is cutting roles because of the shift in strategic needs, “raising standards and acting faster in terms of performance.”

Dorsey also noted that Block is closing 748 public roles in the company, except those who have been promoted to the offer phase, key combat roles and key leadership roles.

Blockage The last major layoffs were made in January 2024When it cuts about 1,000 characters. As of December 2024, the apparel has approximately 11,300 employees worldwide. The company’s latest 10K registration.

Block did not immediately respond to a request for comment.

Here is the entire email Dorsey sent to employees on Tuesday. The syntax and format of this text have been slightly modified to protect resources shared with TechCrunch. The email is as follows:

Hello everyone.

Today, we will make some organizational changes, including eliminating roles and starting the consulting process in countries where we need it. I want to give you all the direct facts.

As I said in the last area, we want to solve three areas:

• Strategy: Teams that lower and determine our discipline proportions from the strategy.

• Performance: Separate from people with “below” or tend to “below”.

• Hierarchy: Drive flatten our organization to the maximum depth of InterCore +4

Why does this convert in the actual number of people:

• Hierarchy: 80 managers (193 relocated IT individual contributor roles)

We also closed all 748 characters we opened, except:

• Characters progress to provide a stage.

• Key operational roles

None of the above attempts to achieve specific financial goals, replace people with AI or change our total number of employees. They target our needs involving strategies, raise standards and act faster in performance, and flatten our organization so we can move faster, less abstract actions.

Why do it once instead of over time? Our actions are behind, which is unfair to individuals working here or in the company. When we know, we should move, and we are not moving enough. We need to take action to help us meet and be ahead of the moment of change in our industry.

This is the hardest part of my job, I have any of these considerations. We have to have a high degree of correctness to take any action, which requires iteration and time to be correct. I always balance the fact that everyone here and those who leave have fairness in our company. Improving value is my job. We think this will help us focus and execute to do this better.

We are working to quickly make clear to everyone with as much context and support as possible. You will receive an email soon about what this means to you. If you think we can do better, please send me a note. Direct feedback makes us better, and I always act when it makes sense.

Thank you to everyone who left us. I would like to express my gratitude and gratitude to you and your work, which has made us established to this day. We will continue to respect this by increasing the value to our customers, as well as the value of all shareholders, including you.

Thank you,

Jack

The story was updated Tuesday at 4:28 pm and included a full email announcing the layoffs.