Massive layoffs in tech — what does it mean for us?
https://techcrunch.com/2022/05/06/startup-tech-layoffs-in-may/
I posted yesterday saying that venture funding is tanking. Turns out companies are cutting back and laying off employees now too. Long story short, they hired during the pandemic, and now they're taking steps in the other direction. What does this mean for us?
I feel like it shouldn't touch us. They got too big for the breeches during the pandemic and they're cutting back. Demand for software will stay the same IMO.
I don't know, I think demand is changing now that people are getting back to normal life...
I've raised multiple times from the VCs. When the funding dries up. This is what happens next.
Sounds pretty dire! Thanks for sharing.
Today I talked with my manager about the possibility of hiring a contractor instead of a full-time employee for a non-core role. He insisted that we needed to hire a full-time employee, what I kept thinking was the fact that we are just making the same mistake other companies do: Overhiring.
Yeah, that'd be a little scary. Sounds like you've got a core role though, so you should be good to go.
It's one of those sticky situations where you've gotta hire to grow but you've gotta grow to justify hiring.
You are absolutely right.
Usually I am skeptical about unthoughtful hiring because I’ve been hired and relocated to a new country, just to find out that there wasn’t anything for me to do after 3 months of work.
That's crazy! I'd be pissed.
I've seen this in e-commerce. Just take a look at the latest quarter earnings of Amazon/Ebay/Etsy/other main e-commerce giants. They all grew lower than expected. The reason: more and more people going back in the real world and shopping from real-world retailers.
I think the same happened with software to a degree. People spending more time in the real world and spend less time on their computers.
Yeah, makes sense. Think it'll affect revenue for indie hackers?