Cross-border payments firm Payoneer is to lay off nine percent of its 2000-strong workforce by the end of the third quarter.
In a filing with the SEC, the firm says the workfroce reduction plan is expected to "enhance productivity and efficiency and streamline the company’s organizational structure to better align operations with its growth".
The initiative is expected to incur charges of $5 million in relation to severance payments and payroll taxes. The company says the termination programme will result in an annual future benefit to its operating expenses of approximately $20 million.
The SEC filing concludes: "The company intends to reinvest some savings from the Plan into future growth initiatives, and to continue hiring for roles essential to those initiatives in areas such as research and development."