Visa cuts about 500 jobs in India as part of global restructuring program

Visa has cut approximately 500 employees at its technology center in Bengaluru. This accounts for 14 percent of the company's total staff in India. This decision is part of large-scale layoffs announced by the company last week, according to information obtained from sources familiar with the situation.

Most of the eliminated positions were in product and technology teams. This is happening because the American payment company aims to implement artificial intelligence (AI) to boost overall productivity and efficiency. This major round of cuts in India is the first since the opening of the technology center in 2015.

India, where about 3,500 employees work, plays a key role in the company's efforts to accelerate digital commerce globally. This move followed similar layoffs in global centers of excellence in the country over the past year.

Among companies that have made similar cuts are Opendoor, the San Francisco-based online home buying platform, which laid off 250 people in Bengaluru and Chennai, and grocery retailer Hy-Vee. Additionally, Wells Fargo closed its Chennai center last year, leading to job losses for several hundred people. Other examples include reductions at Oracle, Walmart Global Tech India, Aumovio Ford, and Fidelity Investments, as these companies downsize and increase investments in AI to improve efficiency.

Visa was unable to immediately comment on the layoffs in India. It is worth noting that Visa's competitors are also conducting mass layoffs: Mastercard cut 1,400 jobs (4% of staff), PayPal cut 4,800, Block cut 4,000, and Intuit cut 3,000. These actions have raised concerns that companies are shifting investments into AI measures at the expense of workforce reductions, further fueling the discussion about job displacement by new technology.

Previously, Visa announced plans to cut 2,600 jobs, equivalent to 7 percent of its staff, to enhance operational efficiency. According to Visa's 2025 annual report, the company had approximately 34,100 employees in fiscal 2025, an 8 percent increase from the previous year. CEO Ryan McInerney wrote in a memo: 'I am firmly convinced that we are doing what is right for Visa, our customers, and our partners by continuing to focus on improving efficiency across the company to reinvest in our highest potential capabilities.'

olhardigital.com.brJuly 28, 19:15

Visa announces restructuring and layoff of 2,600 employees to increase efficiency

Visa, one of the largest global digital payment corporations, announced on Tuesday, the 28th, a reduction of about 7% of its workforce, which corresponds to approximately 2,600 people.

Operational Efficiency Strategy

According to the company itself, this measure is part of a strategy aimed at optimizing its operations and concentrating resources in areas considered priorities. The layoffs will mainly affect the company's technology and product development departments.

This reorganization takes place in a context where large companies in the technology and finance sectors are seeking to restructure their organizations due to the growing adoption of artificial intelligence.

Future Direction and Investments

The decision was made after a detailed analysis of Visa's operational model. The company declared its intention to focus on opportunities with greater growth potential while monitoring transformations occurring in the payments and commerce markets.

Visa's CEO, Ryan McInerney, formalized the internal communication through a memo sent to employees. He assured that the company maintains confidence in the implemented strategy, aiming to strengthen investment capacity in segments considered more promising.

Role of Artificial Intelligence and Competition

McInerney clarified that Visa needs to continuously adapt its way of operating to keep up with industry news and changes, highlighting the crucial role of artificial intelligence as a tool to streamline internal transformations.

The cuts follow a trend seen in other large payment and technology companies. Mastercard, Visa's main rival, had already announced a 4% reduction in its global team, while Block reported reducing nearly half of its employees.

Although technology is a factor, Visa emphasized that artificial intelligence was not the only reason for the change. Technology has been used to automate repetitive tasks and accelerate product development phases, but operational efficiency was also an evaluation point.

Financial and Market Analysis

As it closed the 2025 fiscal year, the company had around 34,100 employees, representing an 8% increase compared to the previous period. Despite the recent cut, analysts considered that this change would not significantly impact the company's trajectory.

Evercore ISI specialists classified the action as a cost and structural adjustment within a robust organization, suggesting that Visa is reallocating capital to areas with higher return potential.

The announcement came before the release of quarterly results. In the last two years, Visa has exceeded Wall Street expectations in most reports, with only one quarter showing results in line with analyst forecasts.

The company's good performance is also supported by the resilience of consumer spending. Since its revenue derives from the volume of processed transactions and not from direct credit granting, Visa's structure minimizes its exposure to default risk.

With its payment network present in over 200 countries and territories, Visa is used by billions of people daily. The company believes this model confers greater stability, even in scenarios of possible economic contraction.

In the financial market, the company's shares rose by about 1% in early trading after the announcement. Visa's market value exceeded US$ 683 billion, according to data provided by the LSEG report.