Re:Epic Games is laying off 16% of its staff
by lesuorac on Thursday September 28, 2023 @11:49AM
(#37691337)
> Basically all software and gaming got a massive bump that was obviously going to have an unsustainable component to it.
Well, this sounds logical and all but isn't always.
For example, Google's revenue/employee exploded during covid but it didn't crater post-covid [1]. So even with a hiring spree, the company is on the same track as it was pre-covid. You might need to layoff employees to get that same covid high but that covid high is the unsustainable part not your current employee count.
So some companies may have overhired compared to what their reveneue growth without covid would've been but not all did. You still need to evaluate companies on a company by company basis.
Well, this sounds logical and all but isn't always.
For example, Google's revenue/employee exploded during covid but it didn't crater post-covid [1]. So even with a hiring spree, the company is on the same track as it was pre-covid. You might need to layoff employees to get that same covid high but that covid high is the unsustainable part not your current employee count.
So some companies may have overhired compared to what their reveneue growth without covid would've been but not all did. You still need to evaluate companies on a company by company basis.
[1]: https://www.macroaxis.com/financial-statements/GOOGL/Revenue...