TheCable

Shola Akinlade, Paystack’s chief executive officer (CEO), says the firm is reducing its presence outside Africa and trimming its workforce in Europe and the United Arab Emirates (UAE).

Akinlade, who is the co-founder of the African online payment firm, disclosed this in a post on X, formerly Twitter, on Thursday.

According to Akinlade, the firm plans to lay off 33 workers in Europe and the United Arab Emirates (UAE), adding that the affected employees will have access to a severance package that includes four months’ salary.

“We’re reducing our operations outside of Africa, and will be parting ways with up to 33 employees in Europe and the UAE,” Akinlade said.

“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.

“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.”

In 2020, Stripe, a US-based fintech, acquired Paystack in a deal worth $200 million, leading to the company’s expansion by establishing offices in Accra, Cape Town, Dubai, and Nairobi. 

This expansion was furthered by remote recruitment of staff in Europe and the establishment of an engineering hub in Dubai.

Prior to these developments, Paystack already maintained offices in Lagos and San Francisco.