Overview
- Headcount will drop from more than 10,000 to just under 6,000, with most reductions expected to be completed by mid-2026.
- Jack Dorsey said the decision reflects an AI-led redesign of work rather than financial distress, citing rising profitability and customer growth.
- Block reported fourth-quarter gross profit of about $2.87 billion, up roughly 24% year over year, and 2025 gross profit of about $10.36 billion, up 17%.
- Impacted employees are set to receive 20 weeks of pay plus one week per year of service, equity vesting through May, six months of health coverage, company devices, and a $5,000 transition payment.
- The company expects a $450 million to $500 million restructuring charge largely front-loaded in the first quarter, while shares jumped more than 20% after the announcement and analysts offered mixed reactions.