"AI allows for shortening processes": Papaya lays off 30 employees
Israeli company Papaya has announced a layoff of 30 employees, representing 7.5% of its workforce. Management attributes the move to operational optimization through the integration of AI.
Israeli company Papaya announced on Sunday a layoff process in which it will part ways with 30 employees.
The company, which specializes in the casual gaming sector, described the move as a "strategic step designed to increase focus and effectiveness." The layoffs affect approximately 7.5% of the workforce, which stood at about 400 employees prior to the announcement.
According to the official statement, the departing employees were "significant partners in the company's development and achievements," and the company intends to assist them during the transition period. Papaya emphasized that integrating AI into its operations allows the firm to work differently: shortening processes, expanding capabilities, and performing tasks in a smarter and faster way. The company is working to adapt to the opportunities created by the new technological reality.
Uriel Bachar, CEO of Papaya, commented on the situation:
"We have made a strategic decision to adapt the company's structure to the next stage of its development and to build a more focused, sharp, and effective organization. The goal is to concentrate resources in areas where we can create the greatest impact, simplify processes, and allow teams to act quickly, flexibly, and efficiently."
Bachar added: "This is a difficult decision that affects talented, professional, and dedicated employees. The move we are making now is intended to ensure that Papaya continues to grow from a position of strength, maintains the ability to invest in products, technology, and innovation, and is prepared for the coming years."
Earlier this year, a jury in the state of New York ruled that Papaya must pay approximately 420 million dollars in damages to competing company Skillz Gaming following a lawsuit over false advertising. Papaya responded at the time, stating: "Papaya will continue to lead the industry with integrity and transparency, while maintaining a focus on our mission to provide an experience of enjoyment through fair, skill-based competition." Regarding the legal proceedings, the company noted that the jury's decision is not final and is subject to further court assessment.
