Spotify laid off 1,500 employees and that does not bode well for tech workers as they enter the holiday season, meant to be joyful. A while back the technology sector experienced a wave of layoffs that eased mid year. Now that 2023 is ending, layoffs in the tech sector are back again. Etsy has just laid off 225 employees, constituting 11% of its workforce, as part of a broader trend of companies reducing staff. The CEO, Josh Silverman, mentioned the need for sweeping changes in response to current macroeconomic environment and competitive challenges.
This move follows similar actions by companies like Zulily, with various firms citing economic uncertainty, over-hiring during the pandemic, and the need to cut costs as primary reasons for layoffs. This downsizing trend extends across sectors, including tech giants like VMware and Zillow, all grappling with declining revenue and profit. The economic landscape in 2023 appears challenging, leading companies to streamline operations to weather potential downturns.
