Jack Dorsey’s fintech company Block has begun another round of Block layoffs, eliminating roles in its Cash App division just days after posting better-than-expected quarterly results. The company notified affected employees on Wednesday, according to an internal email reviewed by Business Insider, marking the second workforce reduction this year.
Two people familiar with the situation said the cuts landed in Cash App, Block’s consumer financial services app. Some Square employees, who work in the company’s seller-services arm, also said on social media that they had been let go. The exact number of people affected was not immediately known.
Block declined to comment.
Which teams were hit
The internal email outlined changes across Customer Ops, Risk Ops, and Learning & Content Operations. Those changes include trimming roles, adjusting certain responsibilities, and shifting some reporting lines. Some employees will leave the company, while others will enter a consultation process.
Affected staff are set to receive a separation package and transition support similar to what was offered to those let go in February 2026, according to the email.
Although this latest message did not mention artificial intelligence, it did refer to “using better tools to handle routine tasks” and refocusing team time on “complex cases and decisions.”
Context from earlier cuts
The new reductions follow a much larger restructuring earlier this year. In February, Block said it would shrink its workforce by more than 40%, bringing headcount from over 10,000 down to just under 6,000. At the time, Dorsey said the company was not in financial trouble, but argued that AI and other intelligence tools had fundamentally changed how a business operates.
Block later estimated that the February restructuring would generate $800 million to $900 million in annualized net cost savings.
The company has spent this year trying to streamline operations and improve efficiency. Dorsey has pushed Block to consolidate teams and increase its use of AI tools, contending that the technology is reshaping how companies are built and run.
Earnings beat precedes the cuts
News of the Block layoffs arrived only days after the company reported third-quarter results that topped expectations. Gross profit climbed 22% from a year earlier to $3.24 billion, driven by growth at both Square and Cash App. Block also lifted its full-year outlook and now expects $12.6 billion in gross profit for 2026.
Block’s stock was down 4% on the day. Shares remain up nearly 15% over the past year but are still well below their 2021 highs.
The February cuts were among the most striking in tech this year and arrived alongside a broader wave of companies — including Snap, Atlassian, and Coinbase — that pointed to AI as a factor in their workforce decisions. Other large technology firms, such as Amazon, Oracle, Meta, and Microsoft, have also announced significant reductions this year, citing reasons that range from cost discipline and reorganizations to slower-growing businesses and a desire to redirect resources toward AI.