Solaris Plans to Cut Workforce by One-Third in Major Restructuring

German banking-as-a-service provider Solaris is planning to reduce its workforce by one-third, in a significant restructuring that reflects the challenges facing the embedded banking sector. The layoffs will affect hundreds of employees.

Solaris provides the banking infrastructure that enables non-bank companies to offer financial services, but the company has faced challenges including regulatory scrutiny from BaFin and the need to achieve profitability.

The workforce reduction signals a period of belt-tightening for Solaris as it works to meet regulatory requirements and demonstrate a sustainable business model in the competitive European banking-as-a-service market.