The short answer
PayPal is cutting 251 jobs at its San Jose headquarters, according to a WARN notice filed with California's Employment Development Department and reported by the Los Angeles Times on September 5, 2026. The cuts take effect October 30, 2026, per the filing as reported by The American Bazaar and KRON4, and KRON4 reported that all of them are permanent. The round is part of a multiyear restructuring under CEO Enrique Lores, per the Los Angeles Times.
What happened
The layoffs became public through a WARN notice, which is a filing an employer must make with the state at least 60 days before a large layoff. WARNTracker, which republishes U.S. Department of Labor WARN data, lists the PayPal notice as filed on August 31, 2026 for San Jose, California, with an effective date of October 30, 2026. The Los Angeles Times reported the filing on September 5, and The American Bazaar and KRON4 followed with details on the roles.
The Los Angeles Times reported that the cuts are part of a plan led by Lores to improve performance, cut costs and invest more in AI. According to the Los Angeles Times, Bloomberg reported that PayPal plans to cut 20% of its workforce over two to three years, which is more than 4,500 jobs, to save about $1.5 billion. HRKatha reported in May 2026 that PayPal had about 23,800 employees worldwide.
Who is affected
The 251 positions are at PayPal's headquarters on First Street in San Jose, per KRON4. The American Bazaar reported that the filing lists more than 100 engineering positions, including over 50 senior software engineers, along with nearly 50 directors and more than 40 senior managers. KRON4, citing the Silicon Valley Business Journal, reported that the cuts fall mostly on senior software engineers and engineering managers. KRON4 put the 251 jobs at about 1% of PayPal's global workforce.
When it takes effect
The affected employees lose their jobs on October 30, 2026, according to the WARN filing as reported by The American Bazaar and KRON4. WARNTracker lists the same effective date.
What the company said
The Los Angeles Times reported that PayPal describes the plan as a multiyear restructuring to improve performance, reduce costs and invest in AI. In a statement about a separate India round reported by CXO Digital Pulse on September 4, 2026, a PayPal spokesperson said the cuts are part of a previously announced multi-year transformation. CXO Digital Pulse reported that PayPal targets $400 million in cost savings by the end of 2026 and at least $1.5 billion over the following two to three years, with the program including fewer organizational layers and more use of AI and automation.
HRKatha reported that Lores became CEO in March 2026. The Los Angeles Times reported that PayPal removed its previous CEO in February, saying his pace of change over two years did not meet the board's expectations.
Earlier cuts at PayPal
The San Jose filing is one of several 2026 rounds under the same plan.
| Reported | Jobs | Where | Source |
|---|---|---|---|
| May 2026 | About 20% of staff over 2 to 3 years, more than 4,500 | Global plan | Bloomberg, per the Los Angeles Times; HRKatha |
| September 4, 2026 | About 220 | India (Chennai, Bengaluru, Hyderabad) | CXO Digital Pulse, citing a PayPal spokesperson |
| September 5, 2026 | 251 | San Jose headquarters | Los Angeles Times, California WARN filing |
CXO Digital Pulse reported that the India cuts took effect August 31, 2026 and equal about 4% of PayPal's Indian workforce of more than 6,000, and that PayPal disputed earlier reports of about 600 India cuts. Before 2026, WARNTracker's most recent PayPal listing is a 59-person San Jose notice from November 2022.
Questions people ask
How many people is PayPal laying off in San Jose?
The California WARN filing lists 251 jobs at PayPal's San Jose headquarters, according to the Los Angeles Times, KRON4 and WARNTracker. KRON4 reported that all 251 cuts are permanent.
When do the PayPal layoffs take effect?
The affected employees lose their jobs on October 30, 2026, per the WARN filing as reported by The American Bazaar and KRON4. WARNTracker lists the notice as filed on August 31, 2026.
Which PayPal jobs are being cut?
The American Bazaar reported that the filing includes more than 100 engineering positions, over 50 senior software engineers, nearly 50 directors and more than 40 senior managers. KRON4, citing the Silicon Valley Business Journal, said the cuts fall mostly on senior software engineers and engineering managers.
Why is PayPal cutting jobs?
The Los Angeles Times reported that the cuts are part of a multiyear restructuring under CEO Enrique Lores to improve performance, cut costs and invest in AI. According to the Los Angeles Times, Bloomberg reported that the plan cuts 20% of PayPal's workforce over two to three years to save about $1.5 billion.