A data scientist at the financial technology firm Block has resigned in protest following a massive workforce reduction that eliminated 40 per cent of the company's staff. Naoko Takeda, who was not among those laid off, stepped down from her role despite being offered a retention package that would have nearly doubled her compensation. Her decision, shared via LinkedIn, has sparked a conversation regarding "survivor’s guilt" and the ethical implications of aggressive corporate restructuring driven by artificial intelligence.

Abrupt Workforce Reduction at Block

The layoffs occurred on February 26, reshaping the company’s internal structure almost instantly. Takeda described a scene where entire teams were removed from the organization’s digital workspace within minutes of the announcement. On her specific team, only she and one other recently hired colleague remained. Meta Layoffs: Know What Chief People Officer Janelle Gale Said in Memo to Staff As Mark Zuckerberg’s Firm To Cut 8,000 Jobs on May 20.

"My employer Block laid off 40% of its workforce last Thursday (2/26). I wasn’t affected… but I was affected," Takeda wrote. "I figured that a company able to Thanos-snap away half of their employees doesn’t need two-week's notice from me, just another IC [individual contributor] that could easily have been in that 40%," she wrote in a post on LinkedIn.

Naoko Takeda's LinkedIn Post About Her Resignation Goes Viral

Naoko Takeda's LinkedIn post goes viral (Photo Credits: LinkedIn)

The 90 Per Cent Retention Offer

In an effort to stabilise the remaining 60 per cent of the workforce, Block reportedly introduced significant retention measures. Takeda disclosed that she was offered a base salary increase of approximately 75 per cent, which totalled nearly a 90 per cent raise when accounting for a one-time bonus. Rather than providing financial security, Takeda described the offer as unsettling. She expressed discomfort at the stark contrast between her potential windfall and the sudden loss of income faced by her former colleagues. She reportedly asked to be included in the layoffs to receive the same exit terms as her peers, but the company declined her request.

Concerns Over 'Survivor’s Guilt' and AI

Takeda highlighted the personal toll the layoffs took on those around her, citing the "survivor’s guilt" of remaining while others faced immediate financial and visa-related crises. She criticized the leadership for expecting the remaining staff to "clean up the mess" while pivoting the company’s future toward automation. "The remaining 60% of us were offered fat paychecks to stick around and clean up the mess our 'leadership' created, all so we can continue contributing to a future where AI leaves us all unemployed," she added. KPMG Layoffs: Firm To Cut 10% of US Audit Partners After Retirement Push Falls Short.

The Role of Artificial Intelligence

According to Takeda’s account, the company attributed the scale of the layoffs to increased efficiency facilitated by artificial intelligence. This follows a year of intense AI adoption across various teams at Block. The situation reflects a growing trend in the tech industry where firms are aggressively downsizing traditional roles to fund or pivot toward AI-centric operations. Block has not issued a public statement specifically addressing Takeda’s resignation or the details of the internal retention offers.

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(The above story first appeared on LatestLY on Apr 25, 2026 05:51 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).