After Salesforce, Vimeo, and Amazon announced thousands of layoffs last week, dozens of companies around the world followed suit, announcing significant job cuts.
The announced layoffs are not limited to specific industries. However, newer tech and cryptocurrency companies, along with major banks such as Goldman Sachs, confirmed cuts to their global workforces this week. The loss of jobs primarily affects white-collar workers, including middle managers, but even senior managers are facing difficulties.
Tech industry layoff tracker Layoffs.fyi reports that 82 tech companies have laid off 23,550 workers worldwide so far this year. Another tracker, trueup.io, reports he has laid off 29,923 people at 120 tech companies so far this year.
The tech industry has already experienced record job cuts in the last year. In 2022, he lost 237,874 jobs in the tech sector, according to figures compiled by trueup.io. Layoffs.fyi reports that 1,023 tech companies laid off a total of 154,256 workers last year.
Both figures represent at least double the number of technical layoffs workers experienced during the Great Recession. According to data from Challenger, Gray & Christmas, a Chicago-based global outplacement and career transition company. The company estimates that in 2008 and 2009, 65,000 engineers worldwide will lose their jobs each year.
On Friday, Crypto.com CEO Kris Marszalek announced in a blog post that the company will “reduce its global workforce by approximately 20%.” Founded by Marszalek in 2016, the Singapore-based company employs 2,450 people, according to PitchBook, which means about 490 employees have been laid off.
Brian Armstrong, billionaire CEO of U.S.-based crypto exchange Coinbase, said last Tuesday that the company had one-fifth of its global workforce, or about 950. Announced layoffs. This is the second major layoff at the company in the last year.
Last June, the company laid off 1,100 employees. In Tuesday’s post, Armstrong threatened further layoffs and wrote, “We may not be looking at the end.”
Referring to the collapse of FTX and the nearly $1.4 trillion lost in the cryptocurrency market in 2022, Armstrong said:[T]Here, scrutiny is intensified to ensure that the various companies in this sector are following the rules. ”
“The collapse of FTX and the resulting contagion has created an eyesore for the industry,” Armstrong added, predicting that there are still “shoes to drop.”
The end of the cheap money policy that fueled the growth of the cryptocurrency market has caused the stock prices of the remaining major cryptocurrency companies to plummet. CNBC reported this week that while Bitcoin’s stock fell 58% last year, Coinbase’s stock fell 83%.
Outside of cryptocurrencies, Flexport co-CEOs Ryan Petersen and Dave Clark announced layoffs on Wednesday. In a memo, Petersen and Clark revealed that the supply chain software company will lay off his 20% of its global workforce, affecting about 640 employees.
Scale AI, an artificial intelligence startup founded in 2016 and worth $7.3 billion in 2021, announced in a blog post Monday that it will lay off 20% of its workforce.
With more than $600 million in funding from institutional investors including Tiger Global, Dragoneer and Index Ventures, as well as a contract with the US Department of Defense, Scale AI co-founder Alexandr Wang, 25, has become “the world’s most Selected as a young self-made millionaire.To forbes.
These, and the countless layoffs yet to come, are the result of deliberate class policies enacted by central banks around the world, led by the US Federal Reserve. The interest rate hike aims to raise the ranks of the unemployed and to slow workers’ growing demands for a once-in-a-generation wage increase, far from a once-in-a-generation inflation. I’m doing it.
The US-NATO war against Russia in Ukraine exacerbates supply chain problems. Combined with corporate price hikes and extortionate profits, inflation in 2022 reached its highest level in decades, according to data released by the U.S. Department of Labor’s Consumer Price Index.
The ministry reported inflation of 6.5% in December 2022, down from a peak of 9.1% in June 2022, but key commodities such as eggs, butter, margarine, utilities, electricity and white bread remained in the double digits.
The Labor Department reported that as of December 2022, egg prices have risen nearly 60% year-on-year. Fuel oil he rose 41.5%. White bread he increased by 17.7%. Health insurance he increased 7.9%, just below the 8.3% year-on-year increase in rent. Overall, meals at home increased by 11.8% from December 2021 to he December 2022.
Companies are revealing more layoffs are underway as workers around the world struggle to get basic necessities. information, Google’s parent company, Alphabet, is preparing to furlough up to 6% of its global workforce, which will result in the loss of up to 11,000 jobs.
No official figures have been released yet, but in an interview insiderradio.com, A spokeswoman for major market research firm Nielsen admitted that the company would cut its “total headcount” to “roughly the same as it was a year ago,” resulting in the loss of hundreds of jobs.
In the UK, British telecommunications giant Vodoafone, which employs about 104,000 people worldwide, including about 9,400 in the UK, announced it would cut “hundreds” of jobs, mainly at its London headquarters.
Banking giant Goldman Sachs announced earlier this week that it would lay off 3,200 bankers around the world. The figure represents the bank’s highest number of layoffs since the global financial crisis in 2008.
india express said on Friday, “At least 700 [Goldman Sachs] Indian employees” were laid off Wednesday and Thursday, including “a number of senior employees”.
before dismissal inidian express reported that the Wall Street bank has employed about 9,000 people in its offices in Bangalore, Hyderabad and Mumbai. 5 dismissed workers limited express They told the paper they were called for a “quick meeting” earlier this week to tell them they had been fired.
After being fired, the employee said he was prevented from returning to his desk and was quickly kicked out of the building.
“I was escorted out of the building and told to go home shortly after I got word of my dismissal. said the software developer. Express.
A former work-from-home employee who was laid off by a bank was notified via Zoom that his job was gone.
Major banks have started posting profits for the final quarter of 2022. JP Morgan this week reported that it “earned” a profit of $11 billion in the last quarter, up 6% from last year.
On a conference call with investors this week, Bank of America CEO Brian Moynihan said 2022 will be “one of the best years ever for banks,” with net earnings of over $7 billion in the fourth quarter alone. was reported.
Citigroup and Wells Fargo did not top last year’s figures, although Citigroup reported a profit of $2.5 billion in the fourth quarter, while Wells Fargo reported nearly $3 billion.
In the face of the global job carnage, trade unions around the world are imposing sales contracts against the opposition of ordinary workers, only acquiescing to the demands of capital.
Socialists deny the capitalist right to close factories, slash wages, and carry out mass layoffs for the benefit of the ‘economy’, which the ruling class means is the interest of financial capital.