Block lays off 4,000 employees to go all-in on AI
Block Inc.—the parent of Square and Cash App—is letting go of over 4,000 employees, nearly half its staff, as it shifts toward smaller teams powered by artificial intelligence.
The cuts come after a year of rising gross profit and improved profitability.
Key numbers from the latest earnings report
Block announced this week it would cut more than 4,000 jobs; timing for reaching a specific headcount was not stated
Gross-profit figures for 2025 were not provided in the source
Shares jumped 23% after layoffs were announced
Transition package for laid-off staff
Laid-off staff get a pretty solid package: 20 weeks' pay plus an extra week for each year at Block, stock vesting, six months of healthcare coverage, their work devices—and $5,000 to help with the transition.
CEO Jack Dorsey on the shift toward AI
CEO Jack Dorsey says AI is changing how Block works, accelerating rapidly, and that's driving this big shift.
The company is betting that smarter tech means leaner teams—and investors seem to agree.