Block, the payments parent of Square and Cash App, is cutting its workforce to 6,000 from more than 10,000 employees as part of a strategic shift toward becoming a smaller, intelligence-native company.
Calling the decision “difficult,” Block co-founder Jack Dorsey wrote in a letter to shareholders that it is nevertheless the “right path” for the company.
“Intelligence tools have changed what it means to build and run a company,” he wrote. “We’re already seeing it internally. A significantly smaller team, using the tools we’re building, can do more and do it better. And intelligence tool capabilities are compounding faster every week.”
In a follow-up post on X, Dorsey wrote, “i had two options: cut gradually over months or years as this shift plays out, or be honest about where we are and act on it now. i chose the latter. repeated rounds of cuts are destructive to morale, to focus, and to the trust that customers and shareholders place in our ability to lead. i’d rather take a hard, clear action now and build from a position we believe in than manage a slow reduction of people toward the same outcome. a smaller company also gives us the space to grow our business the right way, on our own terms, instead of constantly reacting to market pressures.”
Block plans to embed intelligence at the core of decision-making and product development, focus on customer capabilities and proactive insights, and operate with greater speed, aiming to become more efficient and valuable over time.
The move follows what the company described as a financially strong 2025, with gross profit growth more than doubling from the first to the fourth quarter, accelerated Square gross payment volume and record new volume added. Block also scaled lending products, shipped its first Proto bitcoin mining units and increased share repurchases.