Goldman Sachs’ Joe Duran addresses layoffs affecting 3,200 employees
Goldman Sachs head of personal finance management Joe Duran provides his 2023 market outlook and discusses the firm’s “tough decision” to cut 3,200 jobs on “Varney & Co.”
Large companies across various sectors are laying off workers at staggering rates, putting the state of the economy in question.
Among the latest announcements is Microsoft, which said Wednesday the company plans to cut 10,000 workers after shares of Microsoft fell more than 20% during the past 12 months.
An even bigger round of layoffs went into effect this week at Amazon after CEO Andy Jassy announced this month that roughly 18,000 workers would be let go, mainly from the retail division and PXT (People Experience and Technology), which deals with human resources and other matters.
"Amazon has weathered uncertain and difficult economies in the past, and we will continue to do so," Jassy said in a Jan. 4 blog post. "These changes will help us pursue our long-term opportunities with a stronger cost structure."
MICROSOFT CUTTING 10,000 WORKERS AS TECH LAYOFFS MOUNT
Big Tech preparing for layoffs as recession looms: Mahaney
Mark Mahaney, an Evercore ISI senior managing director, reveals which stocks could outperform if the U.S. economy is hit with a recession on “Varney & Co.”
The trend of large-scale downsizing goes back several months as Facebook parent company Meta said in November that it would cut more than 11,000 employees and put a freeze on hiring in the first quarter of 2023.
"I want to take accountability for these decisions and for how we got here," CEO Mark Zuckerberg said. "I know this is tough for everyone, and I’m especially sorry to those impacted."
Elsewhere in the tech sector, Google parent Alphabet cut 15% of the employees at health sciences division Verily, which amounts to more than 200 jobs. CEO Stephen Gillett said in an email to employees last week that the reduction in staff will result in stopping work on the Verily Value Suite medical software and other products in early stages of development, the Wall Street Journal reported.
CONCERNS OVER A ‘WHITE COLLAR RECESSION’ GROW AS GOLDMAN SACHS, MORGAN STANLEY, AMAZON AND OTHERS CUT JOBS