Led by top names such as Google, Meta and Microsoft, more than 1000 tech firms have joined the layoff wave, and the list keeps getting longer. With more than three lakh tech professionals out of a job, Indian startups have also been forced to slash their workforces, although IT giants remain resilient. The latest firm to join the tech layoffs is Australian software provider Atlassian, which has cut down its staff by 5 per cent.
Showing solidarity with workers
The cost cutting measure at Atlassian will leave 500 people jobless, and was announced by co-founders Mike Cannon-Brookes and Scott Farquhar, with a heavy heart. They apologised to the employees who were ousted, and cited global economic conditions as a reason for the layoff. Atlassian had conducted a recruitment drive just months before things turned around and forced it to downsize.
Turned to firing months after hiring
This sudden change highlights the uncertainty which is triggering layoffs, forcing firms to fire people abruptly. A hiring freeze in the sector, which makes it very hard for people to find another job, only adds to the anxiety among tech professionals. Atlassian focuses on supplying software for other businesses, which means that demand for its services is linked to the overall stability of the global economy.
As most CEOs have described the layoffs as cost cutting and some have taken responsibility for missteps such as overhiring, Atlassian's memo termed it as rebalacing.
