Google, Twitter, Amazon, Salesforce, Spotify and other biggest global companies ‘downsizing’ their workforce as part of ‘restructuring’ exercise
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These Companies Laid off Thousands of Employees : The last few months have been disappointing for the technology sector. Many big tech companies have carried out mass layoffs citing ‘macroeconomic conditions’ as the reason for handing out pink slips to their employees. social media It is full of heart-wrenching stories from employees who are narrating their ordeals of being suddenly laid off.
So far, Microsoft, Google, Amazon and Meta alone have announced 41,000 layoffs, roughly a third of the jobs they added since 2019, according to a Bloomberg report. Google, Twitter, Amazon, Salesforce, Spotify and other biggest global companies are ‘downsizing’ their workforce as part of ‘restructuring’ exercise. Here is a list of prominent firms that have given direct exit to their employees.
today’s big news
- International Business Machines (IBM): The computer giant announced on Thursday that it is laying off 3,900 employees as part of some ‘asset divestitures’. The company said it has missed its annual cash target. Its 2022 cash flow was $9.3 billion, well short of its target of $10 billion due to “higher-than-expected working capital needs.”
- SAP SE: The German software company plans to lay off 3,000 employees this year as it explores the sale of its remaining stake in Qualtrix International, looking for ways to boost its profits, Bloomberg reports. The company said it expects adjusted operating profit for the year to rise from 8.8 billion euros to 9.1 billion euros.
- Prosus NV : The Amsterdam-based e-commerce company said it plans to cut 30 percent of its workforce. The layoffs will be done at its corporate centers in Hong Kong, Amsterdam and South Africa, Bloomberg. The company’s chief executive, Bob van Dijk, said in an interview that the job cuts would take place over a 12-month period and 15 locations would be affected.
- 3M: The US conglomerate is planning to lay off 2,500 workers in the manufacturing sector citing ‘persistent economic constraints’. 3M said job cuts are a necessary step due to the decline in production. At the end of 2021, the company had about 95,000 employees. It has twice cut its full-year 2022 sales and profit outlook.
- Salesforce: Earlier this month, the cloud-computing company said it was laying off about 8,000 employees, which is about 10 percent of its workforce. This reduction was the biggest in the company’s 23-year history. The AP reported that laid-off employees will receive about five months’ pay, health insurance, career resources and other benefits.
- Google: The search engine giant has announced around 12,000 layoffs globally. In an internal mail to its employees, Alphabet CEO Sundar Pichai said the job cuts have been made in response to the changing ‘economic reality’. Pichai said that we have conducted a rigorous review across product areas and functions to ensure that our people and roles are aligned with our highest priorities as a company.
- Microsoft: The technology giant recently announced that it is laying off 10,000 employees, which is about five percent of its workforce. In his letter to employees, Chief Executive Officer Satya Nadella said he was confident that Microsoft would emerge from this situation. Nadella wrote that we will align our cost structure with our revenue and where we see customer demand. Today, we are making changes that will result in a reduction of 10,000 jobs in our total workforce by the end of Q3 of FY 2023.
- Amazon: The e-commerce giant will lay off more than 18,000 employees, Chief Executive Officer Andy Jassy announced as the move followed the company’s annual planning process. The layoffs are concentrated in the firm’s corporate ranks, mostly in the retail division and human resources functions.
- Meta: The social media giant led by Mark Zuckerberg laid off more than 11,000 employees in November last year. In a Facebook post, Zuckerberg said he was sorry and took responsibility for the decisions. According to an AP report, the company faced a downturn in the economy and an unfavorable forecast for online advertising.
- Twitter: In October, Tesla CEO Elon Musk acquired social media giant Twitter for $44 billion. Immediately after the purchase, he undertook a massive retrenchment exercise, cutting more than 50 percent of its total workforce. Job cuts have affected the employees of many countries including India.
- Spotify : Music streaming platform Spotify has also announced its decision to cut six per cent of its workforce. The company’s chief executive officer announced the decision to employees, which was also posted online. Daniel Ek said that in order to bring our costs down further, we have made the difficult but necessary decision to reduce our workforce.
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