What do the recent tech job cuts mean?

Amazon, Asana, Meta, Twitter, Oracle, Walmart, Google. That is just a short list of companies that have recently announced that they’re reducing their staff significantly. 

Is it cause for concern? Probably. 

Is it cause for celebration? Probably. 

There’s plenty in the news about why you should be concerned. Let’s talk about why you may want to celebrate too. 

How can your company benefit from the recent job cuts?

• Less competition for candidates. Large companies have the resources to offer bigger and more enticing compensation/benefits packages in lower cost of living markets. That was one of the driving factors in the labor shortage of the last 18 months. Smaller firms or startups found it tough to compete. They didn’t have the budget for the same bells and whistles that are afforded with economies of scale. Now that they aren’t snatching up all the good talent with higher compensation packages, candidates are becoming more reasonable and open to great opportunities with companies that don’t have a big name.
  
  

• Returning to the office. With the escalating demand for talent and the rise of remote work,  it was even harder to attract candidates since they could take meaty salaries with great benefits and never have to leave the comfort of their homes. The silicon valley giants could hire remote workers from anywhere. That made local options less appealing to many candidates, especially if those local options were in an office. Now plenty of those same companies have contracted or scraped their broad work from home policies making local, hybrid opportunities much more compelling.
  
  On top of that many people are tired of being holed up at home. They’re craving more interaction,  stronger connections, and resumed career growth after a couple of years of feeling physically isolated and stagnating. Remote work won’t ever go away completely, but more workers are returning to traditional offices now, either full time or in a hybrid capacity.
  
  

• A flood of talent. All of those workers being let go from the big companies are looking for good opportunities elsewhere. That means those hiring will be getting more resumes to comb through. While having options is always a good thing, it also means you’ll want to ensure your process is identifying and attracting the best candidates for your needs. 

How can you take advantage of the change in the job market?

• Examine processes. Overthinking and over complicating are sometimes what humans do best. How can you be constantly mindful of ways you can streamline your procedures and processes to maximize both candidate and hiring manager experience? Part of the goal should be providing your leaders and candidates with the best information and experience possible to help them make great hiring and career decisions.

• Rethink what you need. Try not to get too hung up on the job title itself. Asking WHAT you need in a position, WHY it’s important to the company, and WHY it’s a compelling opportunity for the right people is crucial to your hiring success. You may be able to broaden your search based on the skills, experience, or aptitude needed. What do you really need in a new hire?

• Tag in an expert. With more fish in the pond, it can seem like the fishing will be easy. The problem is that just dragging in any catch may not net you the quality you need. Knowing where the best fishing waters are and searching through them is time consuming. What is your time worth? 

For hard to fill, time sensitive, confidential, or mission critical hires, it may make sense to consider delegating or hiring an external recruiter to minimize the opportunity cost of your time and the loss/stress to your team and customers. The right recruiter will know exactly how to find the best of the best and how to attract them quickly. Do you have a reliable recruiter that can do that for you?

Change is inevitable and sometimes it can make us uneasy, especially with chatter of recession going around. Regardless of what the market is doing, however, you need top talent to keep your business thriving. 

Are you ready to take advantage of big tech job cuts?