- Major tech firms like Google, Meta, and Microsoft are continuing layoffs in 2023 despite strong earnings, cutting around 25,000 jobs so far versus over 260,000 jobs cut in 2022.
- Companies are making targeted layoffs to reduce costs and focus on priorities like AI, with Wall Street reacting positively to the profit margin improvements.
- Laid off workers are filming and posting their emotional exit meetings online, aiming to find catharsis and transparency in the opaque layoff process.
Major technology companies like Google, Meta, and Microsoft are announcing more job cuts in 2023, even as they report strong earnings results. While not as widespread as the mass layoffs in 2022, the continued downsizing shows that tech firms are still rightsizing after pandemic overhiring.
Layoff Trends
The latest round of tech layoffs totals about 25,000 positions at around 100 companies so far this year. In comparison, over 1,000 companies cut around 260,000 jobs in 2022. Companies like Microsoft, Google, Amazon, and Meta have made targeted cuts in recent weeks to reduce costs and focus on core priorities like AI.
Investor Reactions
Wall Street has reacted positively to the cost-cutting layoffs. Meta’s stock price has soared after shrinking its workforce by a third through layoffs focused on middle management roles. Investors are rewarding the improved profit margins and doubling down on bets like AI. Venture capitalists are also encouraging startups to trim headcounts to extend their runway.
Other Layoff News
Some laid-off tech workers are filming their exit meetings and posting the emotional moments online. They aim to find catharsis and bring transparency to the opaque layoff process.
Conclusion
Big tech’s targeted job cuts are likely to persist as companies balance stronger earnings with economic uncertainty. Streamlining operations remains a priority, even as firms report upbeat results.
