Job Layoffs at Big Tech due to pandemic, inflation and looming Global

Washington: Leading companies globally have started cutting employees on a large scale against the background of the Coronavirus pandemic, inflation outbreak and the looming global recession crisis. Google, the leading company in the field of information technology, also gave an open warning to the employees while indicating the policy in this regard. Predicting big cuts saying don’t bother looking for reasons if the financial results for the next quarter are bad because your blood will be spilt on the streets. Google has hinted at possible layoffs. This process has already started worldwide and companies like Amazon, Apple, Walmart, Microsoft, Netflix, Tesla, and Alibaba have laid off thousands of employees. Amazon alone has laid off nearly a hundred thousand employees in the last six months and Alibaba has cut 10,000 jobs.

Two years ago, many world economies were heading into recession during the Coronavirus pandemic. After the middle of 2021, there were indications that the global economy would recover again from this situation. However, the economies started to suffer due to global supply chain problems, new outbreaks of Coronavirus, the Russia-Ukraine conflict, monkeypox and inflation. Most of the world’s leading financial institutions, including the International Monetary Fund, have predicted that the global economy could face a recession in the next six months. The impact of this is becoming apparent in the industrial sector as well as in the corporate world. Most companies have started hesitating for new investments and job opportunities.

This includes big companies from information technology, retail sales, e-commerce, finance, entertainment and real estate sectors. Amazon, the world’s largest company in the e-commerce sector, has laid off nearly a hundred thousand people over the last six months. The company has advanced because it is reorganizing by reducing the additional recruitment made during and after Corona. Alibaba, one of the leading companies in China, has also cut 10,000 employees. Microsoft, one of the companies known as ‘Big Tech’ in the field of information technology, has reduced about two thousand employees from their jobs. The companies ‘Apple’ and ‘Twitter’ have cut 100 employees each and Facebook has informed that new recruitment has been suspended.

Furthermore, Google has also started preparations in the same direction and the employees of the company’s ‘Cloud Service’ department have been warned of dismissal. Sundar Pichai, the head of Google, confirmed this by saying that some segments were not performing as expected. Walmart, Tesco in the retail sales sector and Ford, the leading company in the automobile sector, have also reduced the number of employees. Tesla, the leading company in the field of electric vehicles, has also cut nearly 200 employees, and CEO Elon Musk has indicated that he will cut 10% of his permanent workforce in the next three months. Peloton, known as a leading start-up, has laid off more than 2,500 employees and Robinhood has laid off more than 300 employees. Over 70,000 employees in the ‘start-up’ sector have been cut down.

The impact of this is becoming apparent in India. In the last six months, 34 of India’s leading start-up companies cut more than 11,000 employees. These companies include companies like ‘Ola’, ‘Cars24’, ‘Vedantu’, ‘Meesho’, ‘UnAcademy’ and ‘Pharm Easy’. The sector known as ‘Edutech’ has been hit the hardest and 11 companies in this sector have laid off more than 4,000 employees. It is said that this decision was taken against the background of slow investment inflow and possible recession. Against all this background, the warning given by Google’s leadership becomes noteworthy.