finance
Meta Lays Off 8,000 Employees Amid Broader Tech Industry Adjustments Following Pandemic Hiring Surge
Major tech companies including Meta, Microsoft, Oracle, and Block have announced significant job cuts. Layoffs this year are less severe than in 2023, with AI contributing to about a quarter of reductions. Job postings for software roles are rising, signaling potential recovery amid ongoing adjustments from pandemic over-hiring.
thehindu.comAudio version
Tap play to generate a narrated version.
Developing·Limited corroboration so far. This page will refresh as more sources emerge.
Meta is cutting 8,000 jobs, adding to a wave of reductions across the tech industry. Microsoft offered buyouts to long-term employees, while Oracle shed thousands of roles and Block chopped 40% of its staff, Insider reported. US tech layoffs were worse in 2023 than currently, according to a Challenger, Gray & Christmas report.
Those 2023 cuts occurred three years ago. Tech companies over-hired in 2020 and 2021 during the pandemic boom and are still adjusting, Insider reported. Job postings for software development roles have risen sharply this year and have been climbing since late 2022, when ChatGPT launched.
An AI capex boom could peak around 2028, based on analyst projections. AI accounted for only about a quarter of tech job cuts this year, according to Challenger estimates. Tech job losses are 'not a result necessarily of AI successes,' Gartner senior director analyst Kathy Ross said.
Some types of jobs could disappear for good, particularly in areas like customer service, where AI systems can handle routine tasks more cheaply and efficiently, Insider reported. AI tools can handle some routine work — analyzing internal data, coordinating workflows, or managing repetitive tasks — reducing the need for roles centered on supervision or process maintenance.
By contrast, workers who produce tangible output can potentially use AI to get more things done more quickly.
New kinds of tech jobs will emerge, such as the 'Design Producer' role in Silicon Valley, where senior individual contributors focus on creating, guiding, and elevating work using judgment and taste to amplify team output. Other emerging roles include 'robot wranglers,' who move, fix, and train AI-powered robots.
