Layoffs here and there in a fintech company have become a habit for the fintech company when they are going through a financial crisis. In fact, in the last fourth quarter of 2022, more than five major technology companies cut their workforces, some in the midst of bear markets and some corporate restructuring. However, Alphabet did make the list and is one of the big tech companies that looks set to be laid off in January 2023.
Apart from the crypto industry which has been in a downward trend for several months now, the FAANG stock has also not been left behind in this market downturn and many of the major stock companies have laid off their employees. In fact, earlier this week Microsoft announced the layoff of 10,000 people, which is 5% of its workforce and others such as Meta, Amazon last year. Only Apple remains the only technology major in the FAANG stock that hasn't, despite low demand for the iPhone in the fourth quarter of last year.
Alphabet followed order and agreed to cut 12,000 jobs to reduce headcount by 6%, announced in a blog post by Sundar Pichai, the company's chief executive, who said "the company is going through a tough environment that is very difficult for growth" and that is the reason for the mass layoff decision.
To me, it's getting too much, big tech companies pushing people out of their jobs, even though it's understood that things aren't looking any better for them as the tech downturn deepens, but they have to be considering.
Although their revenues are getting low, Imagine that a big tech company like Netflix had revenue of 1.9% in Q4 2022, while others are expected to report the same low growth in Q4 2022. Speaking of Alphabet, revenue was 1.7% in Q4 2022.
Alphabet, Layoffs is not the first layoffs within the organization, this would be the second round because a few months ago, Alphabet secretly laid off some employees, workers at Verily and its healthcare. However, Alphabet is pulling back after investors wrote an open letter to the company to cut its workforce. The letter from TCI Fund Management states: Alphabet has too many employees and just looking at the difficult working environment at the moment, the company cannot handle many employees due to the high costs.
TCI went on to say that Alphabet's shares are undervalued in the market and that the company needs to scale buybacks.
It's not funny anymore, others who have been fired from their jobs by Twitter, Meta platform, Amazon, Microsoft and others. Most are still at home without working, and Alphabet is sending another 12,000 people home, which I don't know maybe when the economy turns again, those people will be employed again?
Sincerely we all need plan B Incase incident like this happened in our working place, it won't be a surprise because we had another job that is fetching us money. Don't rely on a job, but rely on jobssssssssss.
Thank you for your attention
