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Payments service Paddle, which provides services such as payment routing, tax collection and subscription management, has cut 8% of jobs.

Employees were informed on Monday that they were losing their jobs through an internal memo, which Paddle founder and CEO Christian Owens shared on LinkedIn.

Ownes wrote: “We are well positioned to weather the impending storm, with a strong balance sheet and a product that solves a critical need for software companies.”

Owens said that the company couldn’t assume that customer growth during the Covid pandemic would continue and cited rising inflation and interest rates for “reducing costs”.

Paddle said it will offer departing staff a minimum of 13 weeks full pay, six months of their current health plan, and contributing cash for coaching to help with their career change.

The fintech will also waive the vesting period for company stock options for those who haven’t reached the one-year milestone.

London-based Paddle joins tech firms around the world, including big companies such as Amazon and Meta, that are scaling back their employee numbers. This week HR startup Beamery axed 12% of its jobs.

“One of the things I’ve been most proud of during the course of building Paddle is that we’ve always been a company that has respect for money, and how we spend it,” continued Owens.

Paddle in May raised £162m in Series D funding and reached a $1bn unicorn valuation. Last year Paddle acquired the subscription and retention automation software ProfitWell for more than £160m.

The Paddle layoffs were first reported by Tech EU.