The tech sector has a big 2024. Nvidia just smashed earnings expectations. The AI ​​boom remains in full swing. The Nasdaq technology index is up more than 8 percent year-to-date. The U.S. economy also fared surprisingly well, adding 353,000 jobs in January, well ahead of economists’ forecasts. Hotter-than-expected inflation data could also prevent the Fed from cutting rates as soon as the market expects, a sign that the economy remains strong enough to keep interest rates higher for longer. However, it’s a different story for tech workers. “The cut to early 2024 signals a dramatic shift in the technology industry,” said Jeff Schulman, a professor at the University of Washington’s Foster School of Business. “We will continue to see layoffs as the future of work has changed, as the future of technology has changed, and as investors’ appetite for risk and growth versus yield has also changed dramatically.” The number of layoffs in the tech sector in 2024. is…

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41 thoughts on “Why Widespread Tech Layoffs Keep Happening Despite A Strong U.S. Economy”
  1. Just know going into the tech industry that AI will be your biggest competitor. AI is coming for your job – It is all about the bottom line for these big companies. Remember you are not family and as technology continues to advance, companies will continue to figure out what can be done to do more with less humans. It is HUGE savings.

  2. Tech was already over externed long before AI. They're just getting started. Expect 50% or more of ALL programmers to be gone over the next year. This is just a basic house cleaning at this point. Wait till AI actually hits the marketplace. It will eliminate a lot of redundancies. We haven't reached that moment yet. Hang on!

  3. > Some reasons big companies layoff large groups of employees: 1. Public companies want to have more money freed to pay their share holders without lowering assets.
    2. Many in top positions want an increase in their salary and bonuses. Hence, massive layoffs to get that money for themselves.
    3. To take the pressure off of management with a smaller employee staff moneywise and in future company growth projections.
    4. The biggest layoff reason is to hire new employees at a lower salary for existing positions.

  4. a strong economy? no, this is a lie. The economy is not strong. Inflation is rampant increasing our cost of living while wages have not adjusted to accommodate the rising prices. The so called 'jobs' created are more like 250k farm, line assembly, trade and labor jobs. Not actual career type jobs. Stop lying to us. Stop hiding behind COVID as an excuse. Trump mandated the vaccines made available to the public within one year of covid being discovered. There was a gradual recovery but with our job market transition to a more remote workforce, the economy was doing fine. The economic toll occurred once Biden took office and the feds raised the interest rates.

  5. great videos thx for taking the tiime to share and teach.. We need more people like you, any referral cades for your platform or any binary platform that US residents can operate

  6. It's a domino effect, just no one remembers in 2020, 80% of the service industry people getting layoff, including myself, these people been struggling everyday life. Then every year different waves of industry getting layoff that hits the headline – manufacture industry, banks, retail closures, etc. Just news broadcasts are only talking one side of each industry story, but when more and more people don't have job and money, especially catching up the inflation, society will collapse eventually. We just can't support any business of each other anymore. Just sadly it felt that tech industry gets the most attention out of all other people getting layoff.

  7. Maximum respect for you, it cannot be denied that you are one of those who work the most in the recovery genre. I hope one day to be like you in the recovery moves, from Germany I will continue, blessings to all here.

  8. The Financial Institution that I work for, acquired another community Bank and immediately announced they would be laying off 30%. Not gonna lie!! I was scared!! People were scared!!..I was like mann!! This Sucks!! To get that call since we're all working from home was Scary!! Fortunately I wasn't layed off!! But every time my manager sent me an email or call thru Zoom in the morning! I was like Gosh!! I don't even want to pick up that call. For anyone!! Who has Ever Experienced this!! They will tell you! It's an ABSOLUTE HORRIBLE feeling!. You feel scared, ashamed, nervous, you immune start looking for jobs! Updating your resume!! It sucks!!

  9. It is easier to reduce expenses than it is to find a new and profitable activity. Generally, big companies lay off people while small companies hire people. Eventually, some small companies become big companies and start laying off people.

  10. Layoffs happen and will happen becouse inivative tech landscape changes quickly, more faster than any other. New projects are being started and then slashed within 3 years. Amazon shifted away from their (supposedly AI powered ) "Just Walk Out" stores so naturally those teams are made reduntant.
    Also many of these jobs were not strictly tech jobs but marketing, sales, HR, management, call centre etc.

  11. I think it is the solution they found to lower the inflation. These people will stop buying, the inflation will go down, and the interest rate will be lowered next year, with less employees to pay. Win/win for companies.

  12. In 2017 all the Trump hating online and broadcast outlets went into overdrive and now it’s satisfying to see them go bust. BuzzFeed, Vice, CNN, LATimes and countless others. Tech bent over to woke employees now hire on merit and dumped all their bloat. I bet they all wish they could go back to the Trump years where the economy was booming, jobs were everywhere, China, Russia and North Korea were afraid of us, the border was secure. How we destroyed everything.

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