Block is preparing for an additional series of job cuts

Block Plans Additional Layoffs Amid Ongoing Cost-Cutting

• Key Takeaway: Block is preparing for another series of job reductions, which are expected to coincide with its yearly performance evaluations.
• Context: Jack Dorsey's financial technology firm has been working to trim its workforce as part of broader efforts to lower expenses. The company has implemented staff reductions at the start of both 2024 and 2025, following a self-imposed employee limit of 12,000 set in November 2023.
• Looking Ahead: Block is scheduled to announce its fourth-quarter and annual financial results after the market closes on February 26.

Block, a leading payments technology company, is moving forward with another round of layoffs as it continues to focus on reducing operational costs.

The latest job cuts are being implemented alongside the company's annual performance assessments and will impact various departments. Block has not disclosed specific details regarding the scale of these layoffs to American Banker.

This marks the third consecutive year that Block has initiated early-year workforce reductions, a trend that began after the company set a maximum headcount of 12,000 employees in 2023. In March of last year, Block let go of 931 employees, representing about 8% of its staff, and in January 2024, approximately 1,000 more positions were eliminated, again accounting for roughly 8% of the workforce.

According to its most recent 10-K filing with the U.S. Securities and Exchange Commission, Block employed 11,372 full-time staff worldwide as of December 31, 2024, with 2,627 of those positions located outside the United States.

The company reported that severance and related costs associated with layoffs during the first nine months of 2025 totaled approximately $79.5 million, as detailed in its third-quarter 10-Q filing.

Analyst Vasundhara Govil from Keefe, Bruyette & Woods suggested that these workforce reductions are likely aligned with Block’s three-year strategic plan.

“It’s reasonable to believe these measures were anticipated as part of the company’s multi-year strategy presented at last year’s investor day, reflecting an ongoing effort to improve operational efficiency while reallocating resources to areas such as sales and marketing,” Govil noted in a research report.

Despite the layoffs, Block continues to recruit new talent. Its careers page currently lists 304 open positions across a range of fields, including legal, design, finance, accounting, hardware, IT, machine learning, data science, sales, marketing, and product management.

Block has also intensified its focus on achieving Rule of 40 profitability, a key benchmark for software companies. In November, the company enhanced its peer-to-peer platform and Cash App digital wallet by introducing numerous new features aimed at attracting more users away from traditional banks.

Additionally, Block has increased its efforts to engage younger audiences by launching a teen advisory council to help guide product development. The company has also expanded its international presence by opening a new office in Dublin, Ireland, to support its European growth plans.