Tech companies are unable to keep up with the global economic imbalances. The first step for companies that cannot bear the burden is to reduce their total number of employees. Along with this, hiring of new employees is also stopped. In 2022, 45,000 people will lose their jobs abroad in the US tech sector alone.
Many of these are companies that have raked in billions following the tech boom during the Covid era. Along with the increase in revenue during the covid period, the companies’ operating expenses and number of employees also increased. But the growth in online business during the covid period has now stagnated.
Companies had hired more employees than they needed in anticipation of the Covid-19 business. They say that this action has backfired and is the reason for the collective dismissal. Read on to learn about some of the biggest companies that have laid off employees en masse and put their recruiting efforts on hold.
Seagate
is laying off 8 percent, or about 3,000, employees globally. The economic crisis is the reason. The company argues that strong measures are to be taken to adapt to existing market patterns and increase profitability in the long run.
Intel
Intel’s biggest problem is the lack of demand for Intel consumer chips and the shrinking computer market. At least 20 percent of Twitter’s workforce will be affected by the mass layoffs. The number of job losses will be more in the marketing and sales section. Intel aims to save US$3 billion next year.
Microsoft
says it will reduce the number of employees. This is due to falling Windows OS sales. The organization says that it will take a decision considering the situation. Microsoft also accepts the position that hiring will be done in growth areas.
is laying off nearly half of its global workforce. The mass layoffs at Twitter began with the new CEO Elon Musk taking over. Musk says he is losing up to 4 million a day and has no other options. Most of Twitter’s employees in India have lost their jobs.
Netflix
is a company that has been on the path of growth for several years. But 2022 was a year of losses for Netflix. People were fired from Netflix twice during this time. About 500 employees lost their jobs in the mass layoffs that took place in May and June.
Coinbase
American company Coinbase has laid off 18 percent of its employees (about 1,100). The global economic slowdown and the slowdown in the crypto financial scene are all factors that have held Coinbase back. Like this, many other companies are going through a similar situation. Examples are companies like SnapInk, Shopify etc.