PayPal, an online payment company, has announced a plan to cut 2,000 jobs globally in the latest round of big tech layoffs.
The decision, according to the company, would affect 7 per cent of its workforce across the world.
The new development comes days after Google announced plans to lay off 12,000 of its employees.
In a message to the company’s employees on Tuesday, PayPal Chief Executive Officer, Dan Schulman, said the decision becomes inevitable in the face of the “challenging macroeconomic environment.”
Over the past year, he said the company has made significant progress in strengthening and reshaping it to address the challenging macroeconomic environment while continuing to invest to meet customers’ needs.
“While we have made substantial progress in right-sizing our cost structure, and focused our resources on our core strategic priorities, we have more work to do. We must continue to change as our world, our customers, and our competitive landscape evolves.
“Addressing these changes requires us to make hard decisions that will impact some of our colleagues.
“Today, I’m writing to share the difficult news that we will be reducing our global workforce by approximately 2,000 full-time employees, which is about 7 per cent of our total workforce,” Mr Schulman said.
The PayPal boss noted that these reductions will occur over the coming weeks, with some organisations impacted more than others.
“We will treat our departing colleagues with the utmost respect and empathy, provide them with generous packages, engage in consultation where required and support them with their transitions. I want to express my appreciation for the meaningful contributions they have made to PayPal.
“Change can be difficult particularly when it includes valued colleagues and friends departing. We will face this head-on together, drawing on the unparalleled scale of our global platform, the strategic investments we have made to strengthen our core capabilities, and the trust and loyalty of our customers,” he said.
PayPal is the latest technology company to lay off its employees in a new wave of massive layoffs in the tech industry in which employees of Twitter, Facebook, Amazon, IT group Salesforce, Microsoft and Google have been affected.
Earlier in January, Salesforce announced it was laying off around 10 per cent of its employees.
Last year, Amazon laid off about 3 per cent of its corporate employees and less than one per cent of its global workforce.
In November 2022, Twitter Inc laid off half its workforce as advertisers pulled spending amid concerns about content moderation.
Facebook’s parent company, Meta, also announced it would lay off more than 11,000 of its employees, reducing the company’s workforce by about 13 per cent.
READ ALSO: Google to layoff 12,000 employees
Also, Microsoft announced plans to lay off approximately 11,000 of its employees, reducing the company’s workforce by roughly 5 per cent.
Last month, Google’s parent company, Alphabet, announced plans to lay off 6 per cent of its workforce across the world.
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