Global tech layoffs have going on since last year and even after leaving more than three lakh people jobless, the onslaught refuses to slowdown. So far Amazon had fired the highest number of people at once by slashing its workforce by 18,000, but now Facebook's parent Meta has surpassed the e-commerce giant. Becoming the first of the top tech firms to initiate a second round of layoffs, Facebook is firing another 10,000 people.
Phase two begins
This phase after the 11,000 jobs cut last year, will take the number of people sacked by Meta to 21,000. Apart from that, Facebook will also push the brakes on hiring by pulling 5,000 openings off the table even without hiring. The move is part of a push to bring down costs at Facebook by as much as $5 billion, from the total bill which goes up to $95 billion a year.
Another blow amidst recession and inflation
As inflation worsens and a recession bogs down the US economy, 40 per cent of all job cuts so far have come in the first two months of 2023 alone. The crash of the Silicon Valley Bank has also shaken up the US stock markets, and the tech as well as banking sector are experiencing an impact.
Meta, which has already diverted focus from its cash guzzling metaverse to create an AI to rival ChatGPT, has also ended support on Instagram for NFTs, as virtual assets battle headwinds.
