Layoffs: Why Amazon lays off 10,000 employees and it is a sign of bad times
Amazon Layoffs: During the time of Covid-19, people were locked in homes and were spending more time on social media sites along with online shopping. But now the demand has decreased, so big companies have started seeing their earlier hiring as useless.
Highlights
⏩ There has been a decrease in the demand for tech platforms globally.
⏩ At the time of Covid-19, the demand had increased, so companies had done a lot of hiring.
⏩ Signs of an economic slowdown have made the situation worse.
New Delhi. Amazon is planning to lay off more than 10,000 employees in “corporate and technology” worldwide. The New York Times gave this report on Monday. This decision of the company follows the rest of the companies in the tech sector, which have recently made layoffs and stopped hiring. The most prominent among these is Meta, which last week laid off 13 percent (11,000) of its employees.
After all, what is happening is that companies are doing layoffs on a large scale. Actually, after getting out of the epidemic of Covid-19, the demand has decreased worldwide. During the time of Covid-19, people were locked in homes and were spending more time on social media sites along with online shopping. Not only this but were taking more interest in streaming content and games, etc. As the restrictions related to Covid-19 have been removed, the increased demand has almost come to an end.
Hiring increased when demand increased, and firing decreased
Presently, these layoffs and rein of new recruitments have been seen more in those companies, which had hired more people in the last few years with the aim of meeting the increasing demand.
As people return to the office and focus on things outside, their engagement with online platforms is decreasing and the revenue of the platforms has been affected. If the demand has decreased, then obviously there is no need for as many employees as it was before.
Companies who thought that the changed behavior of users would remain the same after the pandemic are now realizing that it is not so. The sound of global economic recession has added salt to the burn. Demand for non-essential products has been affected in many markets. Many types of purchases are being avoided.
Amazon layoffs concern?
For workers, Amazon has been one of the most stable employers in the technology sector. It is being heard that Amazon’s retrenchment could be the biggest retrenchment in the company’s history. However, it has not been officially announced by Amazon yet.
Amazon reducing its workforce indicates that consumer sentiment is no longer the same. The dip in sentiment was especially evident in the week leading up to the holidays, which are typically the best times of the year for e-commerce. Due to the low demand for Alexa devices worldwide, Amazon can sort out according to its device verticals.
Who else announced layoffs?
The biggest trimming has come from Facebook’s parent company Meta, which has been hit by reduced engagement with ad tracking policies on its platform. This has affected the effectiveness of the campaigns on the platform. Meta laid off more than 11,000 employees last week.
However, the most discussed has been the layoffs at Twitter. After completing the acquisition of the micro-blogging platform by Elon Musk, almost half of its employees were fired overnight.
Highlights
⏩ There has been a decrease in the demand for tech platforms globally.
⏩ At the time of Covid-19, the demand had increased, so companies had done a lot of hiring.
⏩ Signs of an economic slowdown have made the situation worse.
New Delhi. Amazon is planning to lay off more than 10,000 employees in “corporate and technology” worldwide. The New York Times gave this report on Monday. This decision of the company follows the rest of the companies in the tech sector, which have recently made layoffs and stopped hiring. The most prominent among these is Meta, which last week laid off 13 percent (11,000) of its employees.
After all, what is happening is that companies are doing layoffs on a large scale. Actually, after getting out of the epidemic of Covid-19, the demand has decreased worldwide. During the time of Covid-19, people were locked in homes and were spending more time on social media sites along with online shopping. Not only this but were taking more interest in streaming content and games, etc. As the restrictions related to Covid-19 have been removed, the increased demand has almost come to an end.
Hiring increased when demand increased, and firing decreased
Presently, these layoffs and rein of new recruitments have been seen more in those companies, which had hired more people in the last few years with the aim of meeting the increasing demand.
As people return to the office and focus on things outside, their engagement with online platforms is decreasing and the revenue of the platforms has been affected. If the demand has decreased, then obviously there is no need for as many employees as it was before.
Companies who thought that the changed behavior of users would remain the same after the pandemic are now realizing that it is not so. The sound of global economic recession has added salt to the burn. Demand for non-essential products has been affected in many markets. Many types of purchases are being avoided.
Amazon layoffs concern?
For workers, Amazon has been one of the most stable employers in the technology sector. It is being heard that Amazon’s retrenchment could be the biggest retrenchment in the company’s history. However, it has not been officially announced by Amazon yet.
Amazon reducing its workforce indicates that consumer sentiment is no longer the same. The dip in sentiment was especially evident in the week leading up to the holidays, which are typically the best times of the year for e-commerce. Due to the low demand for Alexa devices worldwide, Amazon can sort out according to its device verticals.
Who else announced layoffs?
The biggest trimming has come from Facebook’s parent company Meta, which has been hit by reduced engagement with ad tracking policies on its platform. This has affected the effectiveness of the campaigns on the platform. Meta laid off more than 11,000 employees last week.
However, the most discussed has been the layoffs at Twitter. After completing the acquisition of the micro-blogging platform by Elon Musk, almost half of its employees were fired overnight.
