Jack Dorsey's Block announced it's laying off 40% of its workforce – over 4,000 people.
The Story
He claims this isn't due to financial trouble, but a strategic shift, stating AI and automation enable 'a new way of working' with leaner teams.
Why It Matters
For my European SMB clients, this means something profound: even profitable, growing companies are fundamentally re-evaluating their operational models because of AI. This isn't just about 'big tech' hype; it's a clear signal that the efficiency gains from AI are significant enough to drive major strategic decisions, pushing all businesses to reconsider their current structures.
What To Do About It
My advice is direct: do not wait. I recommend a focused AI operational audit, identifying 2-3 core processes in your firm – think document review, client onboarding, or data analysis – where AI can genuinely deliver a 10-20% efficiency boost. Start piloting these changes within the next 3-6 months, using existing tools or targeted solutions. This isn't about immediate cuts, but about strategically re-skilling your team and future-proofing your business before the market forces your hand.
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