US EditionJack Dorsey Recasts Block as an A.I.-First Company
Block will reduce its workforce from about 10,000 to 6,000 to embed AI across products and operations, with affected employees receiving severance and benefits.
- On Feb. 26, Jack Dorsey, CEO and founder of Block, announced plans to cut roughly 40% of the workforce, reducing headcount from about 10,000 to 6,000, citing AI-driven productivity on the earnings call and X.
- Dorsey said he decided in December to make A.I. central, emphasizing the cuts reflect productivity changes and proactive repositioning, not financial distress.
- Inside Block, A.I. is already woven into daily work, with Goose saving engineers eight to ten hours weekly and products like Square AI, ManagerBot, and MoneyBot enhancing customer experiences.
- Investors reacted by sending shares up more than 20% in after-hours trading as Morningstar Senior Equity Analyst Brett Horn warned the long-term impact remains uncertain despite margin guidance.
- As part of a broader pattern in recent months, Silicon Valley firms have cut jobs linked to AI, echoing Citrini Research’s warning of a white-collar recession and unemployment over 10% by 2028.
14 Articles
14 Articles
She joined Block to build AI. Weeks later, AI cost her job.
Block’s AI-fueled layoffs are a stark reminder of how little protection even the most future-facing roles have in today’s tech economy—and how quickly the ground can shift beneath the people building that future. On Thursday, Jack Dorsey, CEO and founder of Block—parent company of Square and Cash App—announced plans to cut more than 4,000 jobs, roughly 40% of the workforce, reducing headcount from over 10,000 to just under 6,000 as part of a swe…
Announcing layoffs of half of its workforce, its stock price soars by 25%. AI threatens employment. With the introduction of AI, fewer people can handle much more work. Most companies will undergo structural changes within a year. An American IT company announced that it plans to lay off about half of its employees due to the use of artificial intelligence (AI) tools.
Block's layoffs illustrate the market conundrum at the heart of the viral Citrini report
Block CEO Jack Dorsey.Joe Raedle/Getty ImagesBlock stock surged after the company said it would axe 40% of employees.It illustrates a tension between markets and the economy outlined in the viral Citrini report.The firm outlined a scenario in which AI job losses spark a white-collar recession in 2028.Part of Citrini Research's viral view of an economy reshaped by AI might be playing out in real time on Friday. Block investors are celebrating aft…
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