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submitted 8 months ago by L4s@lemmy.world to c/technology@lemmy.world

Why widespread tech layoffs keep happening despite a strong U.S. economy::The number of tech sector layoffs in 2024 has been outpacing the number of terminations in 2023.

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[-] HobbitFoot@thelemmy.club 4 points 8 months ago

The economy looks to be good, but the tech sector isn't the economy. We're at the popping of another tech bubble as recently developed product lines aren't generating the returns that were expected of them. Outside of AI, there isn't a reason to invest in tech, so why people to develop in tech?

[-] balancedchaos@lemmy.world 0 points 8 months ago

What looks good about the economy, out of curiosity.

[-] HobbitFoot@thelemmy.club 0 points 8 months ago

Unemployment is still low. The stock market is still high. Inflation is down to below historic averages.

The raw numbers look good. And if you want to complain about inequality, unions have been winning major concessions in a lot of their contracts recently, so wages have been going up as well.

[-] webhead@lemmy.world 1 points 8 months ago

Not to mention inequality isn't some new thing that's happening now. It's been happening for decades. It's not good but that doesn't mean the economy isn't doing well by the usual standards. We still need to do something about how shitty things are on that front but if we're trying to compare how the economy is doing compared to previous years, it's doing well.

The reason it feels bad imo is because money isn't free anymore so a lot of tech companies are laying people off. Also inflation wiped away many gains we all made with our salaries. We're doing better now, information stopped going out of control, but we're left with the shitty high prices that came with it and they aren't going down (because most of them are due to corporate greed, not real circumstances and costs).

this post was submitted on 25 Feb 2024
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