Technology companies during the coronavirus pandemic experienced significant growth that suggested that a new economic landscape was approaching for which they need to be prepared. Over the next few months, companies like Google, Apple, Microsoft, Meta, and more launched a race to hire people to meet the needs of the future.
However, as the new Normally, the needs of users no longer depended so much on technology companies. To this new normality, we have to add the war in Ukraine, a war that has led to an increase in inflation and has led to radical changes in economies around the world. Faced with this scenario, large companies have been forced to pull out the scissors to adapt your income and not reduce your profit margin at the expense of keeping employees, which suggests that we are facing a problem that may last for several years.
As we can see on the Layoffs portal, the number of layoffs from 2022 to January 2023 rises to just over 215,000, figures to which other companies probably add.
In a public letter from Sundar Pichai, CEO of Google, the head of the company announced that they were forced to cut their workforce by just over 12,000 people spread throughout the world.
The layoffs of the computer giant, currently under the hands of Satya Nadella, has also been forced to cut its staff, specifically 6% of the total number of its employees, which is equivalent to about 10,000 employees also spread all over the world.
If prices go up, sales go down. One of the main victims of inflation is Amazon, the electronic commerce giant that announced a few weeks ago the dismissal of 18,000 workers, mainly office workers, which represents the further staff cuts of its brief history.
Mark Zuckerberg’s commitment to the metaverse has hit him face to face with a recession that has not allowed him to make the huge economic investment he had planned for the metaverse was a reality Sooner than later. To adapt to the new economic situation, a few weeks ago, it announced the dismissal of 11,000 workers, 11% of its entire workforce and which affects all the countries where it has a presence.
Before the arrival of Elon Musk on Twitter, there was no talk of layoffs on Twitter, but it is a decision that sooner or later the company had to carry out, a process that accelerated when the bird’s social network ended up in the hands of the founder of Tesla, PayPal, eBay and Space X among others. The number of layoffs that Twitter has made since October 2022 is 3,700 employees, almost half of the entire company.
The Swedish streaming music firm, a leader in this sector, has announced that its staff will also suffer a cut that will affect 6% of the total number of employees spread throughout the world, which means putting many of 600 employees. Even though Spotify is the market leader in music streaming, the number of new subscribers is not growing at the same rate that the company had predicted.
Apple has not yet announced any downsizing. However, various analysts suggest that it will. Apple’s downsizing announcement is scheduled for early February, when the company is headquartered in Cupertino announce financial results for the last quarter of 2022, fiscal first quarter of 2023 for the company.