Layoffs.fyi is reporting 121,413 tech jobs have been lost by 789 companies this year so far. That’s not including the discussions surrounding Amazon’s impending cuts or any additional fallout from the FTX debacle. But aren’t all jobs technically (partially) tech jobs now?
The numbers behind the numbers show where (by industry) these cuts are being made: Finance (194) Retail (134) Healthcare (111) Transportation (102) Marketing (101) Real Estate (92) - meaning the top 6 industries account 734 of the 789 companies who have reported layoffs. Finance makes up nearly 25% of all those jobs. Follow the money.
Since 1975 - this accounts for the 8th recessionary cycle on record - that is, if that’s what it’s being called. It’s always a measure of economics and semantics. According to the general definition - two consecutive quarters of negative gross domestic product (GDP) - the US entered a recession in the summer of 2022.
If we combine and average these (most recent) recessionary events, they last 10.5 months. Admitting the problem is the first step to recovery. We haven’t admitted we’re in the R-word yet.
For all the CRE folks out there - let’s look at WHERE these layoffs are happening and maybe it’ll help shed some light on market outlook and trends.
435 companies in SF Bay Area (70,674 jobs)
182 companies in NYC (20,345 jobs)
69 companies in Boston (6,807 jobs)
70 companies in LA (5,320 jobs)
WHERE is the SILVER LINING?
We need to be half-full here. With all that tech talent and all the innovation in web3, we can’t help but remain hopeful that entrepreneurship will bloom. Builders and creators can come together to create the future of work just as web2 did coming out of the recession of 2001.
The last 20 years have given us Bluetooth, HDTV, iPod/Pad/Phone, BluRay, Wii, Flash Drives, Android, Facebook, YouTube, Chromebook - and a million other things. Just imagine what can happen as we transition from Read/Write to Read/Write/Own.
There’s never been a better time to be an entrepreneur.
Here’s a cool write-up on the history of entrepreneurship. There are so many relatable developments. Sometimes, you have to look back to see forward.
Image created by Dall-E’s open AI