The layoffs will impact 7% of PayPal’s total workforce. The company, which is headquartered in San Jose, California, employed approximately 30,900 people as of 31 December 2021. Schulman’s message referenced “significant progress” in reshaping the company to “address the challenging macro-economic environment.”

“While we have made substantial progress in right-sizing our cost structure, and focused our resources on our core strategic priorities, we have more work to do,” said Schulman, who has been the CEO of PayPal since 2015.

The news follows , , as well as layoffs at other technology companies including Twitter, Meta and Snapchat.

PayPal’s workforce reductions will take place in the coming weeks, “with some organisations impacted more than others,” said Schulman.

From 31 January, the day of PayPal’s announcement to 2 February, the company’s stock rose by over 9%, increasing from $79.25 per share on 31 January to $87.08 on 2 February.

On 3 November 2022, PayPal announced net revenues of $6.85bn (GAAP) for the third quarter of 2022, which corresponded to a year-on-year change of 11%.

PayPal, which operates an online payments system that allows online money transfers, established itself in Luxembourg in 2007. Delano has seen estimates that the company employs between 100 and 200 people in the grand duchy, but has not been able to verify a number.

Delano reached out to PayPal for information on how the layoffs will impact Luxembourg, as well as a clearer number of how many employees the company has in the country, but had not received a response at the time of publication.