Tech Company Layoffs In 2023: Cuts Didn’t Stop In Q3
Joseph F. Kovar
Tech layoffs, particularly in the security industry, continued unabated in the third calendar quarter of 2023 as tech companies looked to re-adjust growth plans, prepared for a possible economic downturn or, in at least one case, a bankruptcy, even as many other firms planned to increase their employee headcounts.
Tech Layoffs Continue
For some companies, it was looking for increased efficiency. For others, it was macroeconomic headwinds. For some it was a one-time deal while for others it was part of a series of planned changes. And for at least one, it was bankruptcy.
Whatever the reason, tech companies in the third quarter of 2023 continued to lay off employees as a way to either make way for a better future or get ready for an uncertain future.
Indeed, an on-line website tracking tech layoffs, Layoffs.fyi, estimated that 1,036 tech companies have laid off a total of 238,397 employees in the first nine months of 2023.
That number includes all types of tech companies, from the largest hyperscalers like Google Cloud and Amazon to game manufacturers and cryptocurrency firms.
CRN has compiled a list of tech companies that have laid off workers since July 1 of this year. Note that this list of tech layoffs is focused primarily on companies with a major focus on the B2B IT sector and does not include layoffs at consumer-focused companies such as Epic Games. This list also does not include layoffs of tech staff by companies not normally considered to be tech companies.
But just because tech layoffs are happening does not mean all is gloom and doom for tech employees. Indeed, hiring in the tech space is still very much alive.
For instance, managed security services provider Novacoast is looking to grow its staff from 400 employees now to 1,000 employees within the next three to five years, CEO Paul Anderson told CRN in September.
IT solution provider World Wide Technology is on pace to hire 700 net-new employees by year end, and had already hired about 500 of those as of early September.
There’s a lot happening in the employment part of the still vibrant tech sector. For details, read on.
Wade Millward, Mark Haranas, Kyle Alspach, Dylan Martin, CJ Fairfield, Gina Narcisi, and Steve Burke contributed to this article.