As the information technology industry struggles with the challenge, major tech giants began cutting jobs one after another in March of this year. The main reason for downsizing companies is “cost reduction.”
Big tech companies like Apple, Dell, and Ericsson are cutting back on employees, citing a variety of reasons. Apple reportedly fired its engineering team due to poor performance, but Ericsson said demand for 5G equipment is decreasing.
Here is a list of technical layoffs in March and the reasons why the layoffs were made:
Job cuts at Apple: Apple Inc was looking to develop microLED displays in-house for future models of the Apple Watch. But those efforts were in vain, so the tech giant reorganized its display engineering team and laid off dozens of employees in Asia and the US, according to Bloomberg.
Headcount reductions at Dell: Dell said it was cutting jobs as part of broader cost-cutting measures. The layoffs, which reportedly eliminated nearly 6,000 jobs, came at a time when demand for Dell PCs was weak and revenue fell 11% in the fourth quarter.
Job cuts at Ericsson:Ericsson announced earlier this month that it would cut 1,200 jobs in Sweden due to slowing demand for 5G network equipment. The job cuts are part of cost-cutting measures for 2024 as the telecom giant prepares for a “challenging mobile network market” this year.
Turnitin headcount reduction: Plagiarism detection technology company Turnitin laid off about 15 people earlier this year, TechCrunch reported. CEO Chris Cullen said last year that artificial intelligence would allow Turnitin to reduce its engineering headcount by 20% within 18 months.
layoff See: Zee Entertainment Enterprises Ltd on Friday announced that it is undertaking a complete overhaul of its technology and innovation center, including cutting costs by 50 per cent and reorganizing its team, based on the advice of a new management oversight committee.
Headcount reductions at IBM: International Business Machines Corporation (IBM) announced job cuts in its marketing and communications department in March, CNBC reported. However, IBM declined to say exactly how many employees would lose their jobs in the process. Jonathan Adashek, IBM's chief communications officer, announced the job cuts in a seven-minute meeting, the report added.
Layoffs.fyi, a startup that has been tracking industry layoffs since the pandemic, reported that 56,858 technology jobs were cut in 2024.
Layoffs.fyi founder Roger Lee wrote in an email in February that this year, “tech companies are still trying to correct overhiring during the pandemic surge.”
“Given that both the high interest rate environment and the technology downturn have lasted longer than originally expected,” he added.
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