PayPal plans to cut 2,000 jobs as it faces revenue drop

02.02.2023

PayPal is shedding about 2,000 jobs, or 7% of its workers, as it becomes the latest tech firm to cut costs.

As our world, our customers, and our competitive landscape evolve, we must continue to change, according to Dan Schulman, CEO of PayPal's chief executive.

On Tuesday, Snap, the parent of the Snapchat platform, warned that revenue could fall by as much as 10% for the three months to the end of March.

The operating environment will remain challenging, as we expect the headwinds we've faced over the past year to persist throughout Q1, the company told investors.

At the beginning of this year, Amazon announced it planned to cut more than 18,000 jobs because of the uncertain economy and rapid hiring during the epidemic.

In the month of September, Alphabet said it would lose 12,000 jobs, while Microsoft said up to 10,000 employees would lose their jobs.

The company expects revenue to drop by as much 10% in the current quarter.

The figures were better than many investors had expected and AMD's shares went up after the announcement.

The firm warned that it expects an industry-wide downturn in the coming months, before recovering later in the year due to falling computer chip prices.