Block Lays Off 931 Employees in Major Restructuring

Fintech giant Block, formerly known as Square, is cutting 931 jobs and eliminating 748 open positions as part of a significant company reorganization. The news was revealed in an internal email from CEO Jack Dorsey that was obtained by TechCrunch.

The layoffs include:

• 391 employees being let go for strategic reasons
• 460 workers who received “below” ratings in performance reviews
• 80 managers as part of efforts to flatten the company’s hierarchy

Dorsey emphasized that the cuts were not driven by financial targets, AI replacement, or headcount reduction goals. Instead, he cited the need to “raise the bar” on performance, simplify decision-making, and accelerate execution.

This marks Block’s second major workforce reduction in recent months, following 1,000 job cuts in January 2024 for similar operational reasons. The restructuring comes as Block faces regulatory pressure, including a $255 million settlement with state regulators and the Consumer Financial Protection Bureau (CFPB) over anti-money laundering (AML) and fraud control failures in its Cash App division.