American fintech 'Block' fires half of its employees as AI tools reshape operations, says Founder Jack Dorsey

San Francisco [US], February 27 (ANI): American financial technology company Block is reducing its workforce by nearly half as artificial intelligence tools increasingly take over core functions within the company, Founder Jack Dorsey said in a social media post on Friday.
Dorsey announced that the company will shrink from over 10,000 employees to just under 6,000, impacting more than 4,000 staff members who will either be asked to leave or enter into consultation.
"Today we're making one of the hardest decisions in the history of our company: we're reducing our organization by nearly half, from over 10,000 people to just under 6,000," Dorsey wrote in a social media post on Friday.
He clarified that the decision was not driven by financial distress. "We're not making this decision because we're in trouble. Our business is strong. Gross profit continues to grow, we continue to serve more and more customers, and profitability is improving," he said.
However, Dorsey noted that rapid advancements in intelligence tools have fundamentally changed how the company operates. According to him, the intelligence tools being created and used within the company, combined with smaller and flatter teams, are enabling a new way of working that is accelerating rapidly.
Dorsey said he had two options -- to gradually reduce staff over months or years, or to act immediately. He chose to take a decisive step now to avoid repeated rounds of layoffs, which he described as destructive to morale and focus.
Block stated that employees affected by the decision will receive their salary for 20 weeks plus one week per year of tenure, equity vested through the end of May, six months of healthcare, their corporate devices, and USD 5,000 to support them during the transition.
Employees outside the United States will receive similar support, with details varying based on local requirements.
Block, Inc., formerly known as Square, Inc., was co-founded by Jack Dorsey and Jim McKelvey in 2009. The company rebranded to Block in December 2021 to reflect its expansion into a broader ecosystem of services, including blockchain and music streaming.
Dorsey said the company will now focus on building with intelligence at the core of everything it does, including how it works, creates, and serves customers.
Concerns about Artificial Intelligence (AI) taking jobs have intensified in early 2026 as major corporations move from experimental pilots to large-scale workforce restructuring. (ANI)

(This article was generated from news agency ANI without modifications to the text.)