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Why constant job cuts could be the new normal for Big Tech

Business Insider · 1y

Google is undergoing a wave of layoffs, following major cuts last year. Google CEO Sundar Pichai has stated that the cuts are being made to free up resources for new investments and to simplify execution. This trend of job cuts is not unique to Google, as other Big Tech companies like Amazon and Meta have also made significant cuts in recent times. This could become the new normal due to investors' increasing focus on profits rather than growth in the post-zero-interest-rate-policy era. Additionally, as Big Tech companies age, it becomes harder for them to generate new growth stories, making periodic layoffs more common.