Multinational corporations like Google, Amazon and Zoom have begun a series of mass job cuts and hiring freezes in response to the economic cool off. These cuts have cost U.S. workers thousands of jobs.
Management expert Dr. Luis Perez-Batres, Missouri State University management department head, shares what this means for managers, workers and new graduates.
Trouble in tech
Recent mass layoffs spark worries for those who went through previous recessions in the U.S.
Mass layoffs are newsworthy and usually the result of rapid industry growth that has since cooled off. Tech companies are making major changes because they are most affected by the economic downturn.
The tech industry boomed as a result of COVID-19 because consumers looked to new technologies to solve their needs. Then, the pandemic weakened, workers returned to the office, and consumer needs changed again.
“8,000+ mass layoff actions affected over 1.5 million workers during the 2008 great recession,” Perez said. “While the recent layoff trends are nowhere near previous rates, they are still painful and disruptive for thousands of families.”
“Rising inflation and interest rates exacerbate the fears of a significant economic…
