2023 has been a pretty rocky year for the tech industry. Across the board leaders of the field like Amazon, Meta, and Google’s parent company Alphabet have let go of thousands of employees. Also, experts say that number is likely to increase. In some cases, like with Meta, we know for a fact that the layoffs are not done, and we can expect even more employees to be out of the job.
The total number of tech layoffs is continuing to grow. According to Layoffs.fyi, the current total is upwards of 165,000 newly unemployed people as of the date of publication. This already encompasses 2022’s total layoffs in the industry of 90,000-100,000 according to a report from CrunchBase.
Why So Many Layoffs?
The mass amounts of layoffs are coming in the wake of a few different factors. Many suspect that the layoffs are a final correction to the mass overhiring that occurred amid fears of underemployment during the wake of the Covid-19 pandemic. During lockdown, the hiring process lost most of its structure and a correction of this magnitude was to be expected.
Another aspect that likely led to such a large number of layoffs from the tech industry is in response to industry trends downward in the last year. The layoffs are likely due in part to an overcorrection after the reported over 30% drop in tech stocks over 2022.
The less advertised reason that experts say is a large factor in the decision to let employees go is the anticipation of an economic recession. With the overall economy not fairing too much better in the last year, industry leaders aren’t wrong to expect a market correction. This is one of the driving reasons that tech giants like Amazon are cutting costs in any way they can.
All of the Major Tech Layoffs So Far
Here is a thorough list of each and every major layoff announcement as of the date of publication. This list includes any company that has announced plans to let go employees in quantities of 500 or more. Several smaller layoffs have also occurred in the tech industry this year, but this list is just of the most inordinate numbers. The list is in chronological order from January 2023 to May 2023.
NetApp, San Jose-based data storage and management company, saw 960 layoffs. An estimated 8% of their total staff.
Groupon let go of 500 people in January. This is the first of a total of two expected layoffs in 2023.
Paypal saw a total of 2,000 total cuts. This culminates in an estimated 7% of their full-time employees.
Spotify, the massive music streaming company, dropped 600 former employees. An estimated 6% of their international staff.
Alphabet, the parent company of Google, announced a plan to let go of 12,000 employees, or about 6% of the total workforce. Many of these layoffs were directed toward the company’s robotics sector.
Microsoft, another industry leader, decided in January to announce an expected drop of 10,000 employees.
Coinbase, a digital platform for cryptocurrency exchange, felt a 20% loss of total staff with 950 people out of the job.
Amazon had the largest number of layoffs this month with an announcement of 18,000 layoffs, sticking true to the expectation set in November of 2022.
Salesforce, a cloud-computing software company based in San Francisco, announced early in the month a plan to lose 7,000 employees or 10% of its workforce over the coming weeks.
Dell announced a massive reduction of 6,650 workers in February 2023, an estimated 5% of the total number of employees.
Zoom saw great fortune in the wake of the recent lockdown, but with an increasing return to in-person work, the company had to let go of 15% of their staff — 1,300 people.
Affirm, a San Fransisco-based financial tech company, cut 500 staffers, or nearly 20% of their workforce.
Yahoo announced a loss of 20% of their workers, culminating in about 1,600 total employees out of the job.
Twilio, an American communications-tech company, dropped 1,400 individuals from their staff, or about 17%.
Jumia, a Pan-African e-commerce company, announced a reduction of 900 employees.
Thoughtworks, a global technology consulting firm, let go of 500 employees, a cut of about 4% of total workers internationally.
Atlassian, an Australian software developer, saw a drop in headcount of 500 individuals totaling 5% of their entire workforce.
Meta announced a continued reduction of 10,000 layoffs to occur in the following months. This followed a previous drop of 11,000 employees in November 2022.
Microsoft let go of an additional 559 employees this month, this time trimming their Bellevue and Redmond offices.
Amazon, in its second wave of sweeping layoffs, got rid of 9,000 more employees. Between this reduction and the previous 18,000 in January, this totals 27,000 layoffs from the industry goliath — 8% of their corporate staff.
Electronic Arts (EA), an American video game company, reduced its size by 6%, totaling 780 former employees.
Indeed saw a reduction of 2,200 individuals or 15% of total staff in the month of March.
Accenture, an Irish-American information technology giant, announced layoffs for a staggering 19,000 people. At only 2.5% of the company’s size, this is still the largest single cut of the year.
Disney also found itself downsizing in the first round of three announced layoffs for 2023. This time totaling 7,000 employees.
Lucid, an American electric car designer and manufacturer, let go of 18% of its staff or 1,300 individuals.
Lyft let go of over a quarter of its total staff in April, a total of 1,072 employees.
Dropbox saw a reduction of 500 workers or 16% of its staff.
Shopify let go of a fifth of their workforce in their layoff of 2,000 employees.
LinkedIn announced a reduction of 716 workers, about 3.6% of the total staff.
JioMart, an India-based e-commerce company, announced layoffs of 1,000 total staffers this month.