Tech Layoffs Reach 245K in 2021: Meta and Salesforce Lead the Pack
In a challenging year for the tech industry, layoffs have become an unfortunate reality for many workers. According to recent data, tech companies have laid off nearly 245,000 employees in 2021 alone. Among those leading the pack are industry giants Meta (formerly Facebook) and Salesforce.
A recent survey conducted on Glassdoor shed light on the impact of these layoffs on professionals. More than half of those polled stated that they would never consider returning to a company that had laid them off. This finding underscores the significance of these job cuts and the lasting effects they may have on employee loyalty.
Interestingly, the survey also revealed slight variations in responses based on gender and age demographics. Men were found to be more open to the idea of returning to a company after being laid off compared to women. Similarly, older workers showed more willingness to consider rejoining a company, while younger employees were less receptive.
Beyond the immediate consequences for laid-off workers and their careers, companies may also face reputational challenges down the line. As the job market eventually shifts in favor of workers, the legacy of how layoffs were carried out could come back to haunt companies. This serves as a reminder for organizations to handle layoffs carefully and transparently to minimize potential long-term harm.
Recognizing the challenging situation many of these laid-off workers find themselves in, Salesforce CEO Marc Benioff has urged them to apply for open roles within the company. The hope is to facilitate a smooth return for those affected by the layoffs. Additionally, Meta has taken a proactive approach by creating an “alumni portal” specifically designed to assist laid-off employees in their attempts to rejoin the company.
Although the concept of “boomeranging” – returning to a company after being laid off – is less common compared to voluntary resignations, it can be an advantageous move for both parties. Employers stand to benefit from rehiring former employees by saving on recruitment costs and gaining the advantage of their newfound knowledge and experience. On the other hand, workers who do boomerang often expect an average pay increase of 25%.
However, the timing of boomeranging is crucial. After a year of being laid off, employees are less likely to consider returning to their previous employers. This emphasizes the importance for companies to act swiftly if they wish to tap into the potential value of their boomerang employees.
As the tech industry continues to navigate the aftershocks of widespread layoffs, it will be critical for employers to assess the value of their former employees. By carefully considering their options and adopting strategies to support these workers, companies can potentially turn the tide in their favor and rebuild their reputation as desirable employers.
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