According to a survey released on Tuesday, IT businesses have fired 226,000 workers so far this year, over 40% more than in 2022.
Despite the startling amount of employment losses in the tech sector in 2018, 2023 has been far worse.
According to statistics from AltIndex.com, the unprecedented wave of layoffs has forced the closure of hundreds of thousands of businesses, making 2023 the worst year for the IT sector ever.
According to statistics from Layoffs.fyi, IT businesses cut off 164,744 workers between January and December 2022, which is about eleven times the 15,000 recorded layoffs from the previous year.
One month just saw a startling 75,912 job losses, or over half of all layoffs recorded in 2022.
There was a drop in February, with almost 40,000 jobs lost. Tech businesses nonetheless reported about 73,000 job cutbacks during this time period, despite the fact that the number of layoffs continued to decline over the next three months.
According to the article, since then, they have laid off close to 24,000 employees, bringing the total number of layoffs to 226,117 as of last week.
The IT industry, driven by behemoths like Google, Meta, Microsoft, and Amazon, increased the pace of layoffs in 2023 as a result of the uncertain global economy, inflation, persistent supply chain problems, and sluggish revenue growth.
“But hundreds of other smaller tech companies, from retail and cryptocurrency to the transportation market, have also been forced to make painful cost-cutting measures, resulting in the highest number of layoffs the tech industry has ever seen,” the research said.
Even worse layoff statistics are available over the previous three years. According to statistics, since the start of 2021, IT businesses have fired more than 405,000 workers.
US IT behemoths played a significant part in the wave of layoffs in 2023. In fact, according to data, eight out of the 10 greatest job losses revealed this year were done by US corporations, the study said.