"But if Amazon opened the door for other companies to conduct layoffs of their own, some fear things could get ugly. So what would it take? About 20 more Amazon-sized layoffs would send the labor market off the rails, writes BI's Bartie Scott, Andy Kiersz, and Madison Hoff. That might feel a long way away, and in many ways it is, but it's also not out of the realm of possibility. After all, companies are known to follow the lead of their bigger peers."
"In late 2022, Meta cut 11,000 jobs to kick off its "Year of Efficiency" in 2023. The rest of corporate America took notes, and eventually, some 250,000 people were affected. I know what you're thinking: Curse you, artificial intelligence!! Further complicating matters is the current lack of hiring. The "Great Freeze" has kept companies in a holding pattern, refraining from hiring"
Amazon cut 14,000 jobs, a large headline number but small relative to its roughly 1.6 million-employee footprint and the broader labor market. The immediate concern is a contagion effect if other large employers mirror Amazon's actions; roughly 20 similar-scale layoffs could destabilize employment broadly. Corporate behavior often follows major peers, as seen when Meta's 11,000-job cuts in late 2022 preceded about 250,000 affected positions across companies. Rising AI-related anxieties and a continuing hiring freeze dubbed the "Great Freeze" add complexity, reducing new hiring and heightening the risk of broader white-collar reductions.
Read at Business Insider
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