‘Once-in-a-lifetime inflection point’: Visa plans to cut 7% of workforce
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The news: Visa will cut 2,600 jobs as it adapts to a “once-in-a-lifetime inflection point” in the payments sector, chief executive Ryan McInerney said in a memo seen by Bloomberg and The Wall Street Journal.
The context: Visa had 34,100 employees at the end of its last financial year, meaning the cuts will affect about 7% of its workforce. McInerney said they would primarily be from its technology and product teams.
The restructuring is partly driven by efficiencies from AI, as well as a push to devote more resources to consumer payments, stablecoins, cross-border transactions and business-to-business products.
Other fintech and payments companies have also been cutting staff. Mastercard announced plans earlier this year to eliminate 4% of its global workforce, while Block said it would slash almost half its headcount.
Visa will report earnings after the US market closes, early on Wednesday morning in Sydney.
What was said: “AI is also helping to accelerate this evolution and shape the way work gets done at Visa,” McInerney wrote.
