Thousands lose jobs at leading tech companies

Layoffs in 2022: Thousands lose jobs at leading tech companies

Oct 20, 2022, 12:34 pm
3 min read

Tech giants are firing employees amid fear of recession

The Big Tech companies in the world have been the golden standard for attractive benefits and high salaries. However, a looming recession can change everything.

Mass layoffs, as painful as they can be, are one of the direct effects of an economic downturn. The tech giants have been doing exactly that.

Here, we take a look at tech companies that made layoffs this year.

Microsoft has laid off employees for the third time

Microsoft has laid off nearly 1,000 employees, giving us a hint of what is to come in the near future. The company has cut jobs across various divisions.

This is the third time the tech giant has trimmed its workforce this year. In July, the company fired nearly 1% of its employees.

Another 200 from its consumer R&D team were fired in August.

Snap laid off over 1,200 employees

Despite being one of the world’s biggest social media companies, Snap is yet to find a way to make profits.

The company has been trying ways to optimize its business but hasn’t been able to do so. This year alone, the company has lost 80% of its value.

In August, the company laid off 20% of its workforce, or over 1,200 workers.

Meta is not used to cost cuts or hiring freezes. But in September, Mark Zuckerberg announced that the company will be smaller by the end of 2023.

The company is set to undergo a selective restructuring. This may reportedly lead to around 12,000 people losing their jobs.

The company has also decided to stop hiring for the time being.

Apart from the economic slowdown and recession fears, Meta has to deal with its own unique challenges too. For instance, Apple’s privacy policy change has been a big blow to the company’s ad revenue. Similarly, its overzealous approach to metaverse is yet to reap rewards.

Coinbase laid off 18% of its workforce

2022 hasn’t been a good year for the cryptocurrency market. The crypto price crash earlier this year was a big blow to investors and exchanges.

Coinbase, one of the biggest exchanges, was also among those affected. In June, the company announced a restructuring plan. This involved laying off 18% of its workforce or 1,100 employees.

Netflix has fired 450 employees this year

This year, Netflix reported subscriber loss for the first time in a decade. The first two quarters of the year were the worst for the streaming giant.

This forced the company to offload some of its employees. So far, Netflix has had two rounds of layoffs this year.

In May, it cut 150 jobs. This was followed by the firing of 300 more employees.

Apple laid off 100 contract-based recruiters

Unlike its counterparts, Apple’s 2022 wasn’t filled with bad omens. The company has posted healthy quarterly numbers so far.

However, even the Cupertino-based tech giant hasn’t been safe from the clutches of economic slowdown. The company fired 100 contract-based recruiters in August.

The company is now hiring deliberately, keeping inflation and a potential economic downturn in mind.

Tesla fired 229 employees of its Autopilot team

Tesla is another surprising entrant on the list. The Elon Musk-owned EV brand has been under pressure due to the global supply chain crisis and the prolonged COVID-19 restrictions in China.

In July, the company fired 229 of its famous Autopilot team and shut down the San Mateo office, California where they worked.

Musk had announced a 10% reduction in the workforce in June.

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