Last year, tech giants such as Google, Amazon, Meta (Facebook), and others laid off tens of thousands of workers due to over-hiring during the COVID-19 pandemic. The trend of layoffs has continued into 2024, with a 136% increase in job cuts in January compared to December, reaching a 10-month high, particularly in the tech and financial services sectors. US-based employers announced 82,307 cuts in January, a significant rise from the previous month. The surge in firings indicates a shift in the tech job market, with companies like SAP, EBay, Microsoft, and Google (Alphabet) planning significant cuts. In 2024, 135 tech companies have laid off nearly 34,000 workers, reflecting a broader economic trend towards increased automation and AI adoption. While unemployment rates remain low, the impact on tech workers is complex, with varying data from different sources. CompTIA reports a 2.3% IT unemployment rate, while Janco Associates puts it at 5.5%, attributing the layoffs to AI’s ability to automate tasks and eliminate workforce needs.
2024-02-16 01:00:04
Original from www.computerworld.com
