The tech industry has been hit hard by a wave of layoffs in 2024, with 254 companies announcing job cuts totaling 60,000 employees, according to independent layoffs tracker Layoffs.fyi. This trend is not limited to small startups, as major companies like Tesla, Amazon, Google, TikTok, Snap, and Microsoft have all conducted significant layoffs. These job cuts have not only impacted the individuals who have lost their jobs but have also raised concerns about the future of innovation and the increasing role of AI and automation in the tech industry.
The layoffs in the tech industry provide valuable insights into the impact on innovation across companies of all sizes. As businesses embrace AI and automation, jobs that were once considered safe are now being replaced by technology. This shift has major implications for the workforce and raises questions about the future of employment in the tech industry. The layoffs also serve as a reminder of the human impact of job losses and the potential consequences for increased innovation.
The list of layoffs in 2024 is extensive and includes companies from various sectors of the tech industry. Some notable examples include Ginkgo Bioworks, which terminated 158 employees with further layoffs expected as it aims to reduce its workforce by 25%. Moovit is making cuts to 10% of its workforce, impacting around 20 to 25 employees. Wex is laying off 375 employees, accounting for 5% of its total workforce.
The online learning platform Chegg is reducing its global headcount by 23% in a major restructuring effort. StackPath is closing its operations and liquidating its assets, impacting an unknown number of employees. Unit is reducing its headcount by 15% as it aims to think in longer time frames. These examples highlight the wide range of companies that have been affected by the wave of layoffs in 2024.
The layoffs have not been limited to established companies, as smaller startups have also been impacted. Loop, a startup focusing on sustainability, is making more cuts, and the number of employees affected is currently unknown. Care/of, a company that provides personalized vitamin packs, will lay off its 143 employees due to a funding loss. Running Tide, a startup that raised over $50 million since its start in 2017, shut down its operations and laid off its remaining employees.
The layoffs in the tech industry are not limited to a specific region or country. ByteDance is slashing around 450 jobs at its Indonesian e-commerce division, while PayPal is eliminating up to 85 employees based in Ireland. Satellogic is laying off 70 employees, about 30% of its workforce, and Google is making large cuts globally across several of its Cloud teams.
These layoffs have far-reaching implications for the individuals who have lost their jobs and the companies they worked for. They also raise concerns about the future of employment in the tech industry and the impact of AI and automation. As companies continue to embrace technology, it is important to consider the potential consequences for the workforce and the need for retraining and reskilling programs to support workers in this changing landscape.
