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Payments firm PayPal Holdings PYPL-Q will cut about 2,500 jobs this year, Bloomberg News reported on Tuesday citing a letter from CEO Alex Chriss to staff that it reviewed.

In a letter to staff on Tuesday, Chriss said the decision was made to “right-size” the company through both direct cuts and the elimination of open roles throughout the year, according to the report.

The company did not immediately respond to a Reuters request for comment.

In November, newly appointed CEO Chriss said he expects to increase revenue outside of purely transaction-related volume and pledged to turn the fintech firm leaner by reducing its cost base.

Though the announcement helped rally the stock after third-quarter results, analysts have remained focused on PayPal’s margins in recent quarters.

The company’s low-margin business products have risen strongly, while growth in its branded products has slowed due to increased pressure from competitors such as Apple AAPL-Q.

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