- Kobeissi Letter has produced a list of 13 tech giants who are in the layoff process.
- Recession is increasing interest rates and unemployment is also getting directly proportional to it.
The tech sector’s most recent tussle is the massive layoffs in every other company. An increase in the inflation rate has pushed the firms to the corner of reducing the workforce count. The Kobeissi Letter, the leading commentator on the global capital market produced a summarization of the layoff percentages in various organizations.
Layoffs This Month (% of Workers):
— The Kobeissi Letter (@KobeissiLetter) November 8, 2022
1. Twitter: 50%
2. Cameo: 25%
3. Robinhood: 23%
4. Intel: 20%
5. Snapchat: 20%
6. Coinbase: 18%
7. Opendoor: 18%
8. Stripe: 14%
9. Lyft: 13%
10. Shopify: 10%
11. Meta: “Thousands”
12. Apple: Hiring Freeze
13. Amazon: Hiring Freeze
The origin of this seasonal layoff started with coinbase and was followed along by various notable exchanges. Major social media giants such as Twitter and Meta have also joined the queue now.
E-commerce and retailers like Shopify and Opendoor cutoffs reached around 20%. Whereas, tech giant, Apple, and online shopping portal Amazon halted their hiring process completely.
Tremendous Layoffs
The reason for this staff cutting is dumped over the inflation growth, and the global pandemic is pointed out as the root cause. Recession is on with increasing interest rates and the projected unemployment is also directly proportional to it.
Post Twitter accusation by Elon Musk, 50% of staff was cut off from the organization. Meta, Facebook’s parent company is going to start the layoff today. From the start of November around three companies have announced layoffs within 12 hours timeline.
Meta’s layoff is said to be caused because of the financial crisis and the loss they faced in the metaverse division. In the third quarter of 2022, Meta’s metaverse had a $3.7 billion backfall because of Mark Zuckerberg’s obsession with the metaverse.
