The year is only beginning, but tech companies seem to be in a hurry to lay of employees to clean up their financial books.
As of January 26, over 67,000 tech profesionals have been fired in the industry, according to layoff tracking tool layoffs.fyi.
The number has caused fears of the final tally exceeding that of 2022 if the lay offs keep their current pace.
Last year, tech companies laid off more than 150,000 employees, most of whom worked for start-ups whose operations struggled as venture capital inflows slowed following an increase in interest rates in the United States.
This time, it seems to be the turn of large tech firms with operations worldwide. These IT giants hired thousands of professionals in 2021 due to a sudden surge in demand for digital transformation services. Now, they’re cutting them loose in anticipation of a global economic recession.
From Google and Microsoft to IBM and Salesforce, dozens of large tech firms have announced plans to lay off thousands of workers around the world. Google said it would cut 12,000 jobs, while Microsoft confirmed plans to cut 10,000.
IBM and SAP are removing around 4,000 workers, with Salesforce announcing its plans to shed 7,000 staff. Even chip manufacturer Intel Corp is expected cut hundreds of jobs in Silicon Valley.