PayPal announces 7,000 layoffs worldwide, a 7% cut in staff

Dan Schulman, president and CEO of PayPal, has been the last great executive of a technology company to send a message to the workforce announcing mass layoffs: “Today I am writing to share with you the difficult news that we will reduce our global workforce by approximately 2,000 employees. full-time, which is around 7% of our total workforce”, he told his employees.

The digital payment giant thus joins the wave of layoffs that has affected technology companies above all, but is also beginning to leave its mark on some industrial and consumer companies given the forecasts of a slowdown in global economic growth by 2023 .

Schulman assures that the company has come a long way in controlling costs, but that it is not enough.

“We still have work to do.

We must continue to change as our world, our customers and our competitive environment evolve,” he says.

“Addressing these changes forces us to make difficult decisions that will affect some of our colleagues,” he adds before announcing the number of layoffs.

The reductions will occur in the coming weeks, and will have an uneven impact across organizations and departments.

The company has not provided a geographic breakdown of the layoffs.

"We will treat our outgoing colleagues with the utmost respect and empathy, we will offer them generous compensation, we will consult with them when necessary and we will help them in their transition," the chief executive also indicates, although without specifying what those compensations consist of.

In the coming days and weeks, the heads of the different departments will communicate to their employees the specific impacts within their business units and teams.

“Our management team will maintain regular and open communication.

This will be a difficult period for our community, but I am confident that we will get through it together with compassion for each other, our values ​​at the forefront, and a shared commitment to the future of PayPal,” he concludes.

Schulman.