The kicker is that the improvement in employment has flattened out after March 2022. So we probably are in a “recession” already. This may be what a recession looks like under these conditions of already recession-like sub-par employment, with declining real wages.
The unemployment rate under these circumstances is meaningless.
If we are lucky that is. We may get to layoffs, if it gets bad enough.
You’re right.
If you’re in Tech, become a student of LinkedIn job postings.
If you’re in a major Tech market, regularly search for job postings that might interest you. For example, “Android Developer / Greater Boston.”
The results that LinkedIn returns will be shocking, if you’re a student of your job market.
The Tech recession is here. The next domino to fall with be US-based recruiters, followed by the Desi recruiting clowns.
Layoffs are sweeping across American businesses in the first few months of 2022.
Recent startups like Peloton have already laid off thousands of employees this year. Online car dealer Carvana plans to slash 12% of its workforce. Even traditionally layoff-resistant companies like Netflix are making cuts, and now Tesla is reportedly poised to cut thousands of jobs.
The reason, broadly, is twofold: Business growth is slowing, while labor costs are increasing. The combination is causing American companies across a variety of industries to slash headcount. So I believe it is a combination of wage retardation due to their workforce counterparts unable to purchase due to stagnated wages, zooming inflation, and unemployment.
Here are some of the firms that have announced layoffs in recent weeks:
Shared scooter service Bird is laying off 23% of its workforce.
Insurance startup PolicyGenius laid off 25% of staff.
The stock and crypto platform Robinhood, axed about 9% of its employees in April.
Coinbase has frozen hiring and is rescinding job offers.
Supply-chain tech startup Stord is laying off workers.
Marketing software firm Terminus cut 15% of its employees.
Cloud security firm Lacework laid off 20% of its workforce.
Mortgage lending company Tomo announced it let go a third of its staff.
Buzzy brands Carvana, Vroom, and Cameo, along with Fintech unicorns Bolt and Klarna announced layoffs in May biut no numbers.
Project management platform ClickUp let go 7% of its workers.
Amazon brand aggregator Thrasio laid off about 20% of its staff.
Ride sharing startup Swvl laid off 32% of its workforce.
Delivery startups Gorillas and Getir have announced workforce cuts. Tech giants such as Netflix and PayPal are also shedding jobs, while Uber, Lyft, Snap and Meta have slowed hiring to replacing losing employees. A freeze.
Insurance startup PolicyGenius laid off 25% of staff.
Carvana laid off 2500 this last May alone.
Conde Maast, operational since 1909 laid off 90%.
Bluebird Pio laid off 30% of employees in May, also.
J Sainsbury PLC will shut 200 cafes in a shake-up of its in-store dining which is set to impact around 2,000 workers.
There are a number of other companies I could have displayed but didn’t because they wouldn’t produce numbers to their layoffs, all starting last year and going through this year. The information above is over the last 90 days and doesn’t include 2021.
The layoffs and terminations are already going strong since mid 2021. They’ve been hiding it by claiming job increases whether the jobs were a livable wage or not. And the numbers indicate that wage increases are not staying with the inflation rate. So there are a lot of unfilled positions out there that won’t support the people seeing them. Why lose money trying for a job that will syphon you dry while you waste time not trying to find that diamond because of working?
Before, uncle sugar helped out. But that money dried up so the unemployed have to fend for themselves. And it is an uphill effort.
wy69