The tech industry is grappling with yet another brutal wave of layoffs, with over 62,000 employees losing their jobs across 284 companies in just the first five months of 2025, according to data from layoff tracker TrueUp.
The crisis, which first surged in 2023, shows no signs of slowing as global economic uncertainty, high interest rates, and inflation continue to pressure companies into cost-cutting mode, reported The Times of India.
From Microsoft and Google to Meta, Amazon, and Intel, some of the industry’s biggest players have trimmed thousands of jobs this year. May 2025 alone saw over 16,000 layoffs, making it the worst month so far.
Pandemic overhiring catches up?
Analysts attribute the current trend to a combination of over-expansion during the pandemic and a sharp pivot toward profitability.
With demand stabilising post-COVID, firms are “right-sizing” bloated teams and reorganising internal structures. Performance-based restructuring and automation are also driving the cuts.
In one of the largest single-company cuts this year, Microsoft laid off around 6,000 employees, targeting primarily middle management. CEO Satya Nadella clarified during a recent town hall that the move was driven by “reorganisation, not performance,” with a focus on streamlining operations and ramping up AI capabilities.
Google has laid off hundreds across multiple divisions, including its Global Business Organisation, Pixel, Android, Chrome, and Cloud units. Around 200 employees were let go in May alone. Reports suggest these cuts are tied to ongoing automation efforts and strategic refocusing.
Meta, on the other hand, has announced plans to cut 3,600 employees this year as part of stricter performance management, added TOI.
Under CEO Lip-Bu Tan, Intel is restructuring aggressively, with Bloomberg reporting a planned layoff of up to 20 per cent of its global staff. The company is pulling back from less profitable ventures to double down on chip design and manufacturing.
Salesforce has reportedly laid off over 1,000 employees, although some may be redeployed internally.
LinkedIn, owned by Microsoft, laid off 281 employees across California in engineering and support roles.
Amazon has reportedly eliminated over 14,000 roles in 2025, including in its Fashion and Fitness group and Devices division.
Entertainment and hardware sectors
Disney laid off hundreds across film, television, and finance departments, citing restructuring for efficiency.
HP plans to cut 1,000–2,000 jobs by October 2025, hoping to save USD 300 million under its "Future Now" strategy.
The total tech layoffs in 2024 reached a staggering 2.4 lakh jobs, setting the stage for another grim year. While some companies are offering displaced employees options to reapply, most are reducing headcount to align with shrinking budgets and fast-moving business models.
With restructuring and AI integration reshaping workforce needs, industry insiders warn that the second half of 2025 may see further reductions, especially as companies continue preparing for long-term operational shifts, added TOI.
