The tech industry has already seen 32,000 layoffs this year, according to Layoffs.fyi, which has monitored tech industry job cuts since the pandemic.
Snapchat parent Snap said Monday it would lay off about 10% of employees, totaling around 540 and software company Okta plans to cut 7% of employees, or about 400. Other companies that have announced layoffs include Amazon.com, Meta Platforms and Salesforce.
“Tech companies are still trying to correct for their over-hiring during the pandemic surge, given that the high interest-rate environment and tech downturn have both lasted longer than initially expected,” Layoffs.fyi Founder Roger Lee said, adding that “this year’s layoffs are typically smaller and more targeted than the layoffs a year ago.”
Lee noted that most of the layoffs are due to economic factors; however, many companies are making changes to allow greater focus on AI and employees with AI skills. AI-related job postings increased by about 2,000 from December to January, reaching 17,479, a CompTIA analysis shows.