Representational Image. Reuters
New Delhi: Payments firm PayPal is planning to cut 7 per cent of its workforce or 2,000 emploees due to economic slowdow.
“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,” PayPal’s Chief Executive Dan Schulman was quoted as saying by Reuters.
The decision to cut down on costs comes due to decades-high inflation hitting the purchasing power of consumers who also have to contend with the threat of a looming recession.
Payments firm shares were up about 2.4% in afternoon trading.
PayPal in November had lowered its annual revenue growth forecast in anticipation of a broader economic downturn and said it did not expect much growth in its U.S. e-commerce business in the holiday quarter.
Earlier, big tech companies like Meta, Amazon, and Microsoft announced layoffs.
Alphabet had made the decision to eliminate 6 per cent of its workforce, which translates to approximately 12,000 jobs, reported CNN.
Microsoft made the decision to lay off thousands of employees. Citing Sky News, Reuters reported that thousands of roles have been cut, with the software giant looking to cut around 5 per cent of its workforce or about 11,000 roles.
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