Tech Industry Layoffs: Is Tech Still Recession Proof???
Recent tech layoffs have been the talk of the town! There has been confusion, drama, and a lot of misinformation spreading about tech not being the hot spot for job security. But what if I told you that most of what you are hearing is half the story? What if Tech really is recession-proof? Take a look at some of the rocks left unturned that was discovered with deeper research.
Let's Get Some Clarity
When widespread news about the tech industry taking part in major layoffs swept the internet by storm, a lot of follow up questions that needed to be answered were not addressed. Questions such as, what job titles or departments in tech were at risk? How many people were terminated? What companies did layoffs and why? And the question list goes on and on. Before going off the deep end, let's dissect this by starting off with what job titles and departments were laid off.
According to an article written on thestreet.com, larger tech companies with newly created departments dedicated to testing and probing new ideas along with tech startups were at risk of getting laid off. Long story short, if there was a department at Google, for example, that was only created to test new ideas then of course a non-essential department like those will be on the chopping block. Furthermore, tech startups which are newly funded businesses in the industry were also at risk because of the massive funding they received running low due to hiring more talent then they can afford. The pandemic created a need for workers but when the hype calmed down it only made sense to cut some staff.
Moving on to job titles at risk, there was a panic about software developers & systems engineers/analysts getting the boot. However, the same article mentioned software developers & engineers dominating the list for job postings from March-April. Not to mention the fact that help desk & tech support along with data processing specialists were also in high demand....and still is! Now what does this tell us? If you ask me, those tech layoff headlines seemed like pretty catchy click bait. It just doesn't make sense for tech companies to chop off the IT department roles when everything is going more digital. Someone needs to make it make sense.
The Truth Shall Set Tech Free
Now let's get into the thick of it and release those lay off chains that has the tech industry bound! It has been discovered that there are still 'safe' tech startups that have a promising future and won't be doing any layoffs anytime soon. An article on fastcompany.com listed 15 of these tech startups but listed below are the top 5 from their article:
- Landing AI founded in 2017: Supply chain artificial intelligence
- Confluera founded in 2018: Cybersecurity company
- QuEra founded in 2019: Quantum computing
- Prime Medicine founded in 2019: Health & Bioscience-Gene editing
- Moonpay founded in 2018: Crypto trading platform
Not EVERY tech startup was doing layoffs. It's amazing how fast all tech startups were thrown under the bus! Maybe we should add these tech companies mentioned above to the list of places to work for. Did you know big tech companies are investing in these startups because of the huge monetary gains that they will get in return? No wonder tech giants like Microsoft had layoffs recently, because they are investing money into these promising tech startups.
Kenau Victor, Co-Founder of Techky Apparel Brand, LLC and a tech enthusiast
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