2023 is turning out to be one of the worst years in terms of layoffs across the tech sector. According to the layoff tracking website, layoff.fyi, 696 tech companies laid off workers this year.
As a result, nearly two lakh techies (1,97,985) have lost jobs as of May 18, while more workers will be impacted this year.
The layoff tracker also points out that layoffs in 2023 have already surpassed the numbers last year. In 2022, 1056 tech companies decided to cut jobs across sectors, impacting nearly 1.64 lakh workers throughout the year.
Among the top companies that laid off workers this year include Meta, Amazon, and Microsoft. Twitter was among the first major tech companies to mass lay off employees.
Following Elon Musk’s takeover in late October, the company halved its workforce globallyThe social media company’s India-specific workforce has almost been wiped out. Google, Meta, Amazon, and Microsoft also announced plans to cut jobs in the following months. These companies are still completing the restructuring process. Almost every month, we find one employee taking to LinkedIn to announce an abrupt exit and looking for a new job.
Notably, Meta announced plans to cut as many as 6,000 employees, starting this week. The company decided to lay off 11,000 workers in November and announced 10,000 job cuts in March 2023. Other companies like Amazon have also decided to shut down some prominent divisions to cut costs. The company is coming after its hardware due to poor sales. Recently, Amazon announced the exit of its fitness-oriented Halo division, which has produced some interesting products, including Fitbit rival Halo watch and Halo Rise sleep tracker.
In India, several tech companies have taken harsh measures to cut jobs and save money. The companies include Dunzo, Sharechat, Rebel Foods, BharatAgri, and Ola. Additionally, some international companies, such as Accenture, that have a sizeable chunk of workers in India have also laid off workers. For instance, Accenture revealed that it is laying off as many as 19,000 workers in fear of a worsening global economy. This is about 2.5 per cent of its workforce.
So far, Apple is the only major tech company that has avoided mass layoffs. Even its CEO Tim Cook has said that layoffs are not an option for the company, though he has not denied possibilities. Most tech companies have blamed the pandemic, rising inflation, and overhiring as causes of layoffs. Apple, on the other hand, has been careful with hiring. As per a Forbes report, Apple has the same hiring rate since 2016.