It actually feels like a semi-coordinated effort to push down wages. With high inflation, workers would have demanded raises, but with the specter of layoffs, they keep their heads down.

Musk bought Twitter in April 2022, had huge layoffs and then rest of tech followed in Nov 2022 onwards.

Prior to current trends was it common to announce great earnings and then announce layoffs?

Nothing seems coordinated.

Musk made layoff palpable to investors, ZIRP ended, the industry is correcting for over hiring when assuming the 2020s growth would continue forever.

Just a bunch of things that happened. As always.

“We didn’t start the fire”

We went from 0% interest rate to a whole lot real quick. It used to be there was literally no overhead for over hiring if it moved the bar at all. Thats not true anymore.

If it was really over hiring, and the end of ZIRP, why have their financial results been so strong? It’s not like profits dipped to losses from these “headwinds” — companies have been strong and AI is increasing demand for cloud services, chips, etc.

In the states it’s a new tax thing going live.

Funny you should say that because H1B's have shot back up to pre-pandemic rates.

I've never understood why people would believe this overhired narrative, have you ever worked for a company that correctly understood it's own hiring capabilities or measurements? I haven't 15 years in.

It's cost cutting, not demand for labor. A large headcount used to be a status symbol for a public company (to juice the stock), now if anything it's the opposite.