Adriana Jaycie
Active member
In a recent press release, Amazon stated that it is planning to reduce its headcount by implementing a new order that requires managers to have at least four people reporting to them. This order will help the company cut down on layers of management, and it is unclear if it will affect the employees who are performing well or who aren't performing up to the company's standards. However, the CEO of Amazon, Jeff Bezos, did point out that Alexa was surpassing expectations in many parts of the world, and the company would continue to cut employees if it is not.
Compass and Redfin layoffs due to volatile housing market
Two of the biggest companies in the real estate industry announced the layoffs of some of their employees this week. Redfin and Compass are laying off an estimated 8% of their workforce each. That's a reduction of 450 people, or about 8% of the entire workforce. The layoffs are related to declining demand for homes across the nation. Rising interest rates and a slowing housing market are factors contributing to the companies' decrease in revenue.
The news of Redfin's layoffs comes just as the stocks of rival Compass have suffered. Shares are down more than seventy percent from their peak last year. And it's no surprise that Redfin shares have taken a hit as well. The company is also scaling back on merger and acquisition activity and plans to consolidate some offices. The layoffs aren't surprising given the volatility of the housing market, but the lack of news coverage may result in more job cuts at both companies.
While Redfin and Compass have both been seen as disruptors in the real estate industry, they are both salaried businesses. The company plans to give their laid-off staff up to four months' worth of severance pay. In addition to severance pay, Redfin will also provide three months of healthcare coverage for their workers. That should take them through the summer. Despite the layoffs, Redfin and Compass are trying to change the culture at the company to focus more on profits than on people.
The news of Redfin's layoffs comes just as the stocks of rival Compass have suffered. Shares are down more than seventy percent from their peak last year. And it's no surprise that Redfin shares have taken a hit as well. The company is also scaling back on merger and acquisition activity and plans to consolidate some offices. The layoffs aren't surprising given the volatility of the housing market, but the lack of news coverage may result in more job cuts at both companies.
While Redfin and Compass have both been seen as disruptors in the real estate industry, they are both salaried businesses. The company plans to give their laid-off staff up to four months' worth of severance pay. In addition to severance pay, Redfin will also provide three months of healthcare coverage for their workers. That should take them through the summer. Despite the layoffs, Redfin and Compass are trying to change the culture at the company to focus more on profits than on people.
Byju's layoffs due to cost-cutting
The tech giant has a history of laying off employees but has recently stepped back from this practice, blaming cost-cutting for its recent layoffs. According to Amazon's co-founder, Tobi Lutke, the layoffs will affect about half of its staff in 2022. The vast majority of the affected roles are in support, recruiting, and sales. In some cases, the company has eliminated entire departments.
While Amazon's employment has risen 14% year-over-year, the cost-cutting measures it has taken are in line with the general trend of the tech industry. Since January, over 28,000 employees at 150 tech companies have been cut. Last week, Twitter, Gopuff, and Microsoft announced layoffs. Alphabet is also slowing recruiting and is not hiring technical talent.
A recent report from the Wall Street Journal reported that Walmart will cut hundreds of corporate roles in its next round of layoffs. This is in line with the recent decrease in consumer spending. CEOs have warned that rising inflation could tip the economy into recession. Further, several companies that were previously profitable have recently laid off employees in response to a poor earnings report. In the U.S., delivery startup Gopuff announced plans to cut 10% of its workforce.
While Amazon's employment has risen 14% year-over-year, the cost-cutting measures it has taken are in line with the general trend of the tech industry. Since January, over 28,000 employees at 150 tech companies have been cut. Last week, Twitter, Gopuff, and Microsoft announced layoffs. Alphabet is also slowing recruiting and is not hiring technical talent.
A recent report from the Wall Street Journal reported that Walmart will cut hundreds of corporate roles in its next round of layoffs. This is in line with the recent decrease in consumer spending. CEOs have warned that rising inflation could tip the economy into recession. Further, several companies that were previously profitable have recently laid off employees in response to a poor earnings report. In the U.S., delivery startup Gopuff announced plans to cut 10% of its workforce.
Rivian electric carmaker cuts jobs
After ramping up production, Rivian has announced plans to cut jobs as it battles supply chain problems and economic climate. Rivian's factory is capable of making 150,000 electric vehicles a year but it is only on track to produce 25,000 this year. The company has already ordered 100,000 EVs, and it is preparing to start production of delivery vehicles for Amazon by the end of the decade.
The announcement comes as Tesla and other companies are cutting back on staff. Rivian's CEO recently sent a letter to all 14,000 employees explaining the reason for the cutbacks. Inflation, rising interest rates and commodity prices are cited as factors that are causing the automaker to slash jobs. The carmaker is also scaling back in areas where it has overgrown or duplicating functions.
While the company has not communicated a final decision to its employees, it has indicated that hundreds of positions will be eliminated. The layoffs will be focused on positions not directly related to manufacturing. Instead, the company will cut duplicate functions and focus on nonmanufacturing jobs. The company has grown rapidly since it went public in 2015, but its plans to expand to other locations have been delayed. Rivian currently employs over 14,000 people in California, Illinois, Britain, and Canada.
The announcement comes as Tesla and other companies are cutting back on staff. Rivian's CEO recently sent a letter to all 14,000 employees explaining the reason for the cutbacks. Inflation, rising interest rates and commodity prices are cited as factors that are causing the automaker to slash jobs. The carmaker is also scaling back in areas where it has overgrown or duplicating functions.
While the company has not communicated a final decision to its employees, it has indicated that hundreds of positions will be eliminated. The layoffs will be focused on positions not directly related to manufacturing. Instead, the company will cut duplicate functions and focus on nonmanufacturing jobs. The company has grown rapidly since it went public in 2015, but its plans to expand to other locations have been delayed. Rivian currently employs over 14,000 people in California, Illinois, Britain, and Canada.
