Hyderabad: Mass layoffs in the global tech sector are showing no sign of slowing down, with major players announcing fresh cuts citing economic uncertainty, profit pressures, and the spread of artificial intelligence. Companies are moving to curb spending by trimming staff strength, a trend that began with the COVID-19 outbreak in 2019 and continues into 2024.
Hundreds of firms have let go of employees this year, with industry giants such as Microsoft, Google, and Amazon leading multiple rounds of job cuts. Estimates indicate more than one lakh tech workers have already been impacted worldwide in 2024 due to restructuring, cost controls, and AI adoption.
Microsoft has confirmed another wave of layoffs affecting nearly 9,100 staff, mainly in its Xbox and gaming divisions. The latest round covers around 4 percent of its workforce and marks the company’s fourth major layoff in 18 months. Microsoft had also laid off about 6,000 staff in May, representing 3 percent of its workforce, following 10,000 job cuts in 2023.
Meanwhile, Intel is reportedly preparing to slash up to 20 percent of its global workforce by mid-July. It may target chip design, cloud architecture, and executive roles. New CEO Lip-Bu Tan said the company intends to run smaller, faster teams to improve efficiency.
Other industry leaders are on a similar path. Amazon is planning to axe around 14,000 roles globally, affecting books, Kindle, and other units, while Google has cut hundreds in Android, Pixel, and Chrome teams. Meta and TikTok also joined the downsizing wave. According to reports, TikTok might trim 300 roles in Dublin alone, amounting to 10 percent of its staff there.
After the introduction of AI-based systems, IBM has removed nearly 8,000 positions, mainly from its HR department.
Infosys in India terminated 240 entry-level workers who failed internal assessments, following an earlier round affecting about 300 freshers under similar circumstances. Many of these had been waiting since late 2024 to start employment.
Layoffs also spread across Ola Electric, which shed 1,000 workers over five months, HP with 2,000, Salesforce with 1,000, Blue Origin with 1,000 in its engineering wing, and Siemens with 5,600 cuts.
Despite widespread job losses, experts note companies are prioritising skills tied to AI, automation, and machine learning as they reorganise. Demand for traditional roles has declined, while AI-driven positions are seeing a steady rise.
