AI to blame for massive Block layoffs

Last Thursday, February 26, CEO Jack Dorsey announced that Block (i.e., Square, Cash App, etc.) would be laying off nearly half of its employees. And although, to its credit, the company was supposedly generous with severance packages, make no mistake the move was cold and calculated. Four thousand real people just had their lives turned upside down, and no amount of severance can really compensate for the toll losing a job takes on employees and their families. In a people-first economy, layoffs are almost never the right answer, and it's unfortunate the employees at Block are subject to a progress-first economy.

Dorsey also penned a letter to shareholders. It was a chilling portent of things to come, citing "intelligence tools" (i.e., artificial intelligence or AI) as the main driver of the company's bold move, a move Dorsey expects many others to make. But there is no excuse for this. Not "efficiency." Not "extreme focus." Not "speed." And certainly not AI. There is never a good reason to exact this kind of ruthless decision that impacts the livelihoods of real people.

What we're witnessing is a prime example of a profit-first leader. A leader who thinks about his business before he thinks about the people inside it. These are the kind of leaders subtly destroying the fabric of our communities. And we deserve better.

We need leaders who think about people first. Leaders who understand there is more to life than making money and achieving quarterly numbers. We need leaders who prioritize people in a way that sends employees home happy and healthy at the end of each day. And when difficult decisions need to be made, we need leaders who emphasize care, dignity, and generosity. 

To be clear, this isn't a knock on leveraging AI capabilities strategically, but it is a statement on how vastly different the definitions of "getting there honestly" can appear. There is a better way.

If you're a leader, remember this: Your employees will care for your business in the same way you care for them. Don't let the allure of profit, performance, or power fool you into thinking they're most important in this world. It's people. People are first.