Layoffs in 2022 prepare for increasing uncertainty regard the global economy. If you readings the news, you will notice for all successful companies take the precaution and freeze for hiring and some is proactive layoff ahead of time to make sure they are stay lean for the economic uncertainty that coming. For some, it is not surprising for the economic outlook and accelerated inflation, rise of interest and rise of almost everything for the post COVID-19 pandemic. Maybe yet able to use the term post COVID-19 pandemic, the most is to use the term next normal, as now BA4 and BA5 are making their wave to the global news.
For some, they merely just freeze for hire, for others, it dramatically measures massive layoffs to make sure the financial reports look healthy in the eye of the investor, in particular those public listed companies. We refer to those that will easily have 10k or 100k more employees, whether globally or regionally.
Follow the International Monetary Fund (IMF), the central bank for all countries to borrow money for the country. Higher-than-expected inflation worldwide, a worse-than-anticipated slowdown, COVID- 19 outbreaks and lockdowns, negative spillovers from the war in Ukraine, is what summed up in the recent world economic outlook update in July, and remarks gloomy and more uncertain.
Google, a tech giant recently called for “simplicity sprint”, to act “more entrepreneurial” and demands “better results faster” and insists productivity and focus must improve. It matters for time for it to happen and join the rest who did it earlier. It is not surprising where all the tech companies hitting the brakes on hiring at this point of time and some are even announcing job cuts, Apple, Google, Meta (formerly Facebook), Amazon, Microsoft, Netflix, Walmart, Oracle, NVIDIA, Spotify, Twitter, Uber, Tesla and the list go on. All seem to have the same economic outlook for the change to happen. It does not just happen in the west, while in the east like nightly china has the same wave undergoing a head of recession. It makes business sense to do so to counter slow growth and a decrease in subscriber or revenue, or to make sure costs do not exceed revenue. Google CEO recently talked about “We (refer Google) are not immune to economic headwinds.” If Google, such a tech giant is also aware and knowing they are not immune to economic downturn, how about the rest? Uncertainty is the time to look into automation and digital transformation, to help make the bold move to streamline existing business and internal processes and align with the changing market needs.
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