eBay’s PayPal unit is laying off 325 employees, PayPal CEO David Marcus is expected to confirm shortly in a blog post.PayPal used to have nine different product-development units. It recently collapsed those into one. Marcus has also been trying to cut out bureaucracy and get PayPal moving faster against nimble competitors like Stripe and Square.
Still, it’s awful for those who are losing their jobs.
Here’s Marcus’s note:
Delighting our customers every day with great, simple products and experiences is a priority for me, and for everyone at PayPal. It’s something we need to become better and faster at. And that means we need to transform how we work.
So we’ve been redesigning our product organisation, collapsing nine product groups into one. We are creating agile teams of designers, engineers and product managers. Instead of being organised around projects, our teams will now be dedicated to products and focused on our customers — consumers, developers, small businesses and large retailers.
Unfortunately, making the right decisions on behalf of our customers meant we had to make some very tough decisions inside our company. This morning we informed approximately 325 full time employees, primarily in our product and technology organisations, that their roles are being eliminated. We also are ending contracts with approximately 120 contractors globally.
While PayPal is strong and performing well, making decisions that impact our employees was hard. So this is a difficult day at PayPal. These are good people, good friends and colleagues, who have played a role in creating PayPal’s strong global leadership position today. We appreciate all the contributions that they have made. And they are being treated with fairness and dignity, consistent with our culture and values.
Moving forward, I’m confident these changes will make PayPal even better and stronger. Our customers can expect faster innovation and great products and experiences that make their lives simpler. That’s our commitment — every day.
– David Marcus, President, PayPal
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