More than 98,000 Indian IT workers laid off in 2024 by 337 companies

During the first half of 2024, a staggering 98,834 tech workers were laid off. Quiet layoffs, which increasingly target India’s highest-paid IT workers, are becoming more widespread.

These layoffs involve subtle pressure on employees to leave without public announcement, leading to significant stress and job insecurity among those affected.

This wave of layoffs is attributed to the economic downturn, excessive hiring during the pandemic and strategic restructuring aimed at maintaining financial stability. Despite months of substantial job cuts, the sector shows no signs of slowing down.

According to data from Layoffs.fyi, 98,834 employees have already been laid off by 337 technology companies in the first half of 2024.

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Companies are focusing on reducing operational costs, leading to further job cuts. This growing trend of silent layoffs adds to the anxiety of IT employees.

India’s IT and IT services (ITeS) sector is increasingly resorting to silent layoffs. This involves subtly pressuring employees to leave without making it public.

The All India IT & ITeS Employees’ Union (AIITEU) revealed that around 20,000 tech professionals were affected by such unannounced layoffs in 2023, with the actual numbers suspected to be even higher.

Silent layoffs often involve giving employees 30 days to find a new position within the company, failing which they risk dismissal. This method allows companies to downsize their workforce discreetly, avoiding public scrutiny and backlash.

Silent layoffs are often confused with quiet layoffs. Although both involve pressuring employees to leave, their execution differs.

Under silent layoffs, companies give their employees a period of notice, giving them time to make the transition.

Quiet firing, however, involves making employees’ roles increasingly undesirable, either by overloading them with tasks, assigning them trivial tasks, or giving poor performance reviews, forcing them to resign.

As the technology industry navigates these turbulent times, the rise of silent layoffs poses a significant challenge for employees.

Although companies view these strategies as necessary for survival, the impact on their employees and their careers is profound.

As the year progresses, it remains to be seen how the tech industry will address these issues and what steps will be taken to support its workforce during this difficult time.