While the tech sector has been particularly hard hit with massive layoffs in the past months, the downsizing issues seem to be broadening to several other areas. And now, some experts are warning that this might continue after the holidays, notably following Pepsi’s announcement it would lay off employees on Dec. 6.
This news comes after a slew of tech industry job losses — notably at Meta, Twitter, Stripe, Coinbase, Microsoft, Netflix and Shopify — dominated headlines throughout 2022. As of Dec. 7, there were 144,584 employees laid off across 917 tech and tech-adjacent companies so far in 2022, according to Layoffs.fyi.
Pepsi To Cut Hundreds of Jobs
The Wall Street Journal reported that Pepsi would be laying off workers at the headquarters of its North American snacks and beverages divisions, with hundreds of jobs cut.
This triggered CNBC’s Jim Cramer to say that more companies will also make cuts after the holiday season.
“I’m sure there’ll be many layoffs after Christmas. I don’t want to finger-point at the retailers who’re most likely to be thrown into bankruptcy when the holidays are over, but I do want people to realize that, in a way, our current high-inflation economy is a high-quality problem,” he said.
In November, U.S.-based employers announced 76,835 cuts: a 127% increase from the 33,843 cuts announced in October, and 417% higher than the 14,875 cuts announced in the same month last year, per a Challenger, Gray & Christmas report.
Other non-tech companies which recently announced layoffs include Beyond Meat, which said in an Oct. 11 filing that it would reduce its workforce by approximately 200 employees (or 19%). Impossible Foods and Coca-Cola also announced layoffs recently, CNBC reported.
Layoff announcements are also becoming more noticeable in the banking and media industries. Morgan Stanley is laying off 2% of its global workforce (or 1,600 workers), The New York Times reported on Dec. 6 — adding that like many of its peers, layoffs had been on pause since the pandemic.
Also on Dec. 6, Buzzfeed announced in a regulatory filing that it would cut 12% of its workforce, with CEO Jonah Peretti claiming that: “In order for BuzzFeed to weather an economic downturn that I believe will extend well into 2023, we must adapt, invest in our strategy to serve our audience best, and readjust our cost structure.”
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