- Hiring of new employees is on pause at most tech companies.
- With the world economy in trouble, they don’t think about hiring people, but about terminations.
- Post-pandemic, inflation and war in Ukraine, the main causes of a new global labor scenario.
Emerging complications from the coronavirus pandemic, high inflation that threatens to continue for several years, and fallout from the Ukraine crisis are putting pressure on many companies to consider laying off employees or freezing new hires.
The situation is not only noticeable in peripheral or developing countries, but also in Asia, Europe and the United States.
In the past week, Elon Musk said he has a “very bad feeling” regarding the global economy, so he decided to lay off 10 percent of Tesla employees.
The request, sent to company executives, was released by Reuters, which had access to an email from the tycoon.
Hours later, when the news was made public around the world, Musk said that he was not going to go ahead with that plan for now, but that the number of salaried staff was going to change “a little.”
Companies that are going to lay off employees or freeze hiring
this is a list i made Reuters with the many companies that have announced layoffs or hiring freezes to lower their costs
- Alibaba Group: Alibaba calculates to reduce staff by 15 percent. There are about 39 thousand workers. The cause: the new regulations in China, the drop in sales and the increase in prices.
- Cazoo Group: European online car retailer Cazoo said it will cut its workforce by 15 percent to save cash.
- Carvana Co: Carvana announced the dismissal of 2,500 workers (12 percent of its employees).
- Coinbase Global: The cryptocurrency exchange will not hire more people and terminated job offers it had accepted due to “macroeconomic conditions.”
- Getir: The Turkish company expects to lay off 14 percent of its staff globally due to inflation and high costs.
- Gorillas: Germany’s food app Gorillas will lay off 300 people and cut management staff in half.
- Henkel (Schwarzkopf): The German company Henkel, the company behind Schwarzkopf, will lay off two thousand employees due to low demand for products.
- Klarna: The Swedish company Klarna will cut its workforce by 10 percent (there are 3,500 employees).
- Lyft: Will reduce hiring and evaluates cuts.
- Meta Platforms: The parent company of Facebook said that it is going to “slow down” the growth of its workforce.
- Move About Group: The Swedish company announced in May that it will eliminate 17 of 40 positions due to the war in Ukraine and high costs.
- Netflix: Netflix unveiled a plan to cut 150 jobs after a collapse in its accounts.
- Peloton Interactive: Peloton will lay off 2,800 employees from corporate positions.
- Robinhood Markets: The retailer said it will lay off 9 percent of its full-time employees.
- Snap Inc: CEO and founder Evan Spiegel told employees the company is cutting hiring by 2022.
- Tencent: The Chinese company could cut 10 to 15 percent of its workforce in 2022.
- Twitter Inc: CEO Parag Agrawal warned that they are in trouble and will stop hiring.
- Uber Technologies: Uber is going to cut hiring and marketing spend.
- Valmet: Valmet will make temporary layoffs at its valve factory in Helsinki, Finland due to reduced orders due to the war in Ukraine.
- Tesla: Elon Musk seeks to reduce the workforce “a little”.
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