PayPal said earlier this week that it will be cutting about 9% of its workers. This move puts the company in line with other large internet corporations that have also cut staff in the first month of the new year, such Amazon and eBay.
CEO of PayPal, Alex Chriss, told CNN Business that the company needs to lay off employees in order to advance its use of new technologies.
Chriss emphasized the need for greater focus and efficiency, the implementation of automation, and technological consolidation in a message to his staff on Tuesday. The goal is to “reduce complexity and duplication” throughout the organization.
Because of the current macroeconomic climate, other tech businesses like Google, Amazon, eBay, and others have also declared that they plan to lay off employees.
Sundar Pichai, the CEO of Google, began the new year by announcing more layoffs to come. eBay announced this week that it would fire 1,000 workers, or around 9% of its workforce.
Moreover, hundreds of jobs, including those at Twitch, will be eliminated by Amazon. Meanwhile, as it shifted to relying more heavily on artificial intelligence (AI), Duolingo let rid of about 10% of its contract employees.
As of Tuesday afternoon, 98 tech businesses had already let go of almost 25,000 workers in 2024 alone, according to Layoffs.fyi.
The information shows that more than 1,100 organizations reported over 262,595 layoffs last year.
