Mastercard Layoffs: Firm Set To Fire 3% Of Employees Worldwide Before Sept 30

Mastercard Layoffs: The planned layoffs are expected to affect several employees worldwide, reflecting Mastercard's effort to adjust its resources to meet its strategic objectives

Mastercard Layoffs: Mastercard is reportedly preparing to cut 3 per cent of its global workforce as part of a broader restructuring initiative. This move aims to streamline operations and better align the company with current market conditions. The planned layoffs are expected to affect several employees worldwide, reflecting Mastercard's effort to adjust its resources to meet its strategic objectives. According to reports, the job reductions are anticipated to be finalised by September 30.

According to Bloomberg, this  3 per cent layoff translates to approximately 1,000 employees, based on the company's reported number of staff at the end of the previous year.

“We recently announced organisational changes, realigning the regions and businesses to accelerate growth and unlock capacity that will enable investment in long-term opportunities,” the spokesperson said in a statement. 

The company plans to reallocate resources toward growth areas as these changes are implemented. Most of the job cut notifications are expected to be finalised by September 30, added the spokesperson.

At the end of the previous year, Mastercard, headquartered in Purchase, New York, employed around 33,400 people globally. Of this total, roughly 67 per cent were located outside the United States, spanning more than 80 countries, according to the company's most recent annual report. The total cost of the workforce at that time amounted to $6 billion.

Mastercard reported earnings that surpassed Wall Street's expectations in its second-quarter financial results. However, the company saw a nearly 12 per cent increase in total operating expenses from the previous year, reaching $2.93 billion. During a conference call with analysts, Mastercard executives indicated that the company anticipates incurring a one-time restructuring charge of $190 million in the third quarter.

Layoffs are hitting people across the globe and are not just limited to one sector. Some of the biggest companies, such as Amazon, Google, Microsoft, UKG, and many others, announced layoffs this year, affecting several thousands of employees all over the world.