“Today was difficult”: Paystack sacks 33 workers, CEO unveils pay-off package

Nigerian payment platform Paystack has announced the sack of 33 members of its workforce in Europe and the United Arab Emirates (UAE).

Shola Akinlade, co-founder of Paystack’s chief executive officer (CEO), disclosed this in a post on X, formerly Twitter, on Thursday, November 16, 2023.

Akinlade said the plan to lay off workers was a result of changing the operating model to prioritise local team members within the markets the company serves

His post on X reads:

“Today was a difficult day at Paystack. We’re reducing our operations outside of Africa, and will be parting ways with up to 33 employees in Europe and the UAE.

“In the last 3 years, our hiring philosophy was to recruit great talent regardless of location, including opening an engineering hub in Dubai.

“We’re changing our operating model to prioritize locating team members within the markets we serve, to localize costs and get closer to customers.”

The payment company CEO also unveiled a severance package for those affected.

“We’re sparing no expense to minimise disruption to the lives of team members. The severance package includes 4 months’ salary, accelerating equity vesting, extending health insurance by 3 months, and more.

“These are some of the most talented people I’ve ever worked with, and my goal is to ensure that every single one finds new roles as soon as possible. I’m personally happy to vouch for each one and do reference calls as needed.

“If you’re looking for great talent, kindly indicate your interest here forms.gle/mcC2tdQQjQxEgr…”

Paystack backstory

In 2020, Stripe, a fintech company headquartered in the United States, purchased Paystack for $200 million, resulting in the company’s growth by establishing offices in Accra, Cape Town, Dubai, and Nairobi.

This expansion was supplemented by hiring remote staff in Europe and creating an engineering hub in Dubai.

Before these advancements, Paystack already had offices in Lagos and San Francisco.