"With respect to tech, this is just the natural aftermath of several years of labor hoarding and adjustments to a new era of higher interest rates and the end of easy money," Brusuelas said. He predicted there will be layoffs across the real economy as more sectors adjust to the post-pandemic era as well as an "easing of demand and mild disinflation."
Although the labor market remains healthy and one of the few bright spots in the economy, there are signs that it is beginning to soften in the face of higher interest rates. The economy added just 223,000 jobs in December, the smallest gain in two years. The high-profile job losses within the tech realm may be unique to the sector's explosive growth during the pandemic and subsequent normalization, but are also probably a sign that future layoffs are coming, according to Allie Kelly, chief marketing officer at Employ Inc., a provider of real-time hiring data. "Because the world does not exist in a vacuum, they are absolutely indicators of additional layoffs to come," Kelly told FOX Business.
The December jobs report contained some worrisome clues about the strength of the labor market, including the fifth straight monthly decline in the number of temporary workers and the second straight month of a reduction in overtime hours worked by employees. These are often the places where companies first tighten their belt, Kelly said.
Federal Reserve Chair Jerome Powell speaks during a news conference Wednesday, Dec. 14, 2022, at the Federal Reserve Board Building, in Washington.have made it clear that they expect unemployment to climb as a result of higher rates, which could force consumers and businesses to pull back on spending. Updated projections from the central bank's December meeting show that officials expect unemployment to rise to 4.5% by the end of next year, up from the current rate of 3.5%.
Biden Administration has new one world order on track for GREATEST GLOBAL DEPRESSION in Humankind History.
Not really tech was OVERSTAFFED due to asinine covid response by Federal public parasite politicians May be until 2024 but new business oriented leadership and big tech will lead America and the World OUT of one World Order Communist Wilderness.
Probably a layoff for Censorship.
look at all the other business' that service these big tech companies. they won't need the staff they currently have to support these tech giants
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No. The Pandemic cut operations by about 50%. Companies overhired to get back to normal and make up lost revenue by raising prices. Now companies are scaling back to their old norm of make 1 person do 3 jobs for same pay and their back to normal.
are all those people really necessary to run these tech companies?
Ask Joe…