Visa, one of the world’s largest payment companies, is planning to cut around 1,400 jobs, including both employees and contractors, by the end of this year. The Wall Street Journal reported this decision, citing sources familiar with Visa’s plans. The layoffs are mostly targeting jobs in technology, with about 1,000 positions expected to be cut in that area. Additionally, some roles in merchant sales and digital partnerships will also be affected. According to the report, some of these layoffs have already taken place, but employees in digital partnerships will stay on until the end of 2024.
Visa Inc. is an American multinational payment card services corporation headquartered in San Francisco, California. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards.
A spokesperson from Visa explained that the company frequently reviews its operations to support its growth strategy, and sometimes this results in the need to eliminate certain roles. Even though Visa is reducing its workforce in these areas, the company still plans to increase the total number of employees over the long term, suggesting that it will continue hiring in other areas that align with its business goals.
Visa currently has about 28,800 employees globally, as reported at the end of its 2023 fiscal year. The company is expected to release its fourth-quarter earnings soon, which could provide more details about its financial status and explain why these layoffs are happening. This earnings report, scheduled to be released after the stock market closes, may also shed light on Visa’s focus areas moving forward.
The layoffs reflect a trend across the tech and financial industries, where many companies are refining their workforce to improve efficiency and stay competitive. By reducing certain roles, Visa aims to focus resources on areas that promise growth in the future.
