Big Changes at Block: Dorsey Shifts to Function-Based Structure
Hey FinTech Fanatic!
Jack Dorsey is set to implement significant changes at Block, the FinTech company known for Cash App, Square, and Tidal. In a recent memo to employees, Dorsey announced a major reorganization aimed at dismantling internal silos and returning to the company's foundational structure.
The memo, titled "fn block," outlines a shift from business unit reporting to a function-based structure, grouping employees by roles such as engineering, design, and sales. This restructuring is intended to enhance collaboration, craftsmanship, and flexibility within the company.
This move is part of a broader transformation at Block, following a series of changes over the past year, including a 10% reduction in staff, the elimination of performance reviews, and the appointment of a new CTO. The restructuring announcement comes ahead of Block's quarterly earnings report on August 1, with shares currently 30% below their 52-week high.
Dorsey acknowledged that the reorganization might feel "big and disruptive or uncomfortable" but emphasized it as a necessary step. Despite the shake-up, no additional layoffs were mentioned. Block's workforce remains capped at 12,000 employees following earlier job cuts.
This overhaul aims to break down barriers and foster a more integrated and efficient organizational structure, positioning Block for future growth and innovation.
Enjoy more FinTech updates I listed for you below and I'll be back with more industry updates tomorrow!
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