Connect with us
https://tickernews.co/wp-content/uploads/2023/10/AmEx-Thought-Leaders.jpg

Money

Tech jobs wreck – has reality finally set in?

Published

on

It’s been a shocking 18 months for the tech sector, battered by higher interest rates which have impacted the ability of tech firms to raise cash. Now their staff are feeling it.

The AFR reports that Canva’s office in Surry Hills has gained recognition as one of the top workplaces in Australia, attracting an impressive 300,000 job applications annually.

In the past decade, the technology sector has been viewed as a paradise for workers. Various publications awarded accolades such as “best place to work” to companies in the sector, highlighting perks like office rock-climbing walls and well-being grants for employees.

Competition for talent reached unprecedented levels, and startup leaders often expressed frustration about the difficulty of finding skilled engineers.

Are the good times coming to an end?

The market began to shift as interest rates rose and investors became more stringent, demanding profitability and withholding fresh capital.

Initially, small startups began downsizing their workforce, and some had to make further cuts.

Now, larger companies are adopting more subtle cost-cutting measures by implementing performance management systems to identify underperformers.

Goodbye to perks

The year 2023 has proven to be significantly worse for layoffs in the technology sector compared to the previous year.

Tech giants such as Amazon, Meta (parent company of Facebook), Microsoft, Google, IBM, SAP, Salesforce, and numerous smaller companies have announced substantial job cuts, surpassing the cuts made last year.

The underlying issue stems from the fact that Big Tech companies aggressively hired during the pandemic.

The surge in remote work and increased e-commerce prompted a technology buying spree. However, these companies are now facing declining revenues.

While global IT spending is projected to increase in 2023, with notable growth in enterprise software and IT services, the overall rise is expected to be modest.

Market research firm Gartner indicates that data center systems and communications services are predicted to grow by less than 1%, while hardware sales are anticipated to decline.

Moreover, ongoing supply chain challenges, inflation, and the Ukrainian conflict are exerting a substantial impact on both business and consumer spending. These factors have raised concerns of a potential recession.

Ranking downgrade

Previously, employees could rely on a 95% likelihood of receiving an “outstanding” or “great” rating. However, the chances of being rated above average have now increased, while the number of individuals identified as below average has doubled.

This decision caused discontent among certain Atlassian employees, leading them to express their concerns on the company noticeboards, claiming that it jeopardized the friendly culture. On the other hand, some employees celebrated this change, stating that the new system would prevent highly paid colleagues from leaving work early in the afternoon without putting in sufficient effort.

Continue Reading

Money

Why the meme-stock frenzy is unlikely to repeat

Published

on

GME shares surge 74%, but experts stress a meme-stock frenzy resurgence is unlikely due to fundamental differences in the company’s financial situation.

Australia’s budget unveils a second consecutive surplus of A$9.3 billion, prioritising the critical minerals industry and green energy initiatives to reduce reliance on Chinese supply.

Also, GameStop shares have surged 74%, but experts caution against expecting a repeat of the 2021 meme-stock frenzy. #featured #trending

Continue Reading

Money

Why are airlines after the Biden Administration?

Published

on

Major airlines are taking legal action against the Biden administration over a newly implemented rule requiring them to disclose fees upfront.

On this episode of Hot Shots – Major airlines are suing the Biden Administration, AI-piloted fighter jets, SpaceX faces funding challenges, and Apple receives crushing feedback.

Ticker’s Ahron Young & Veronica Dudo discuss. #featured #trending

Continue Reading

Money

The mounting pressure on Government spends

Published

on

Questions abound regarding the factors fueling this inflation surge in Australia and whether it correlates with the escalating government expenditures.

Concerns extend to how Chalmers navigates the mounting pressure amid discrepancies in spending allocations.

Moreover, as Australians grapple with the reality of rising living costs, the feasibility of cutting spending becomes a pressing issue. Additionally, amidst economic uncertainties, individuals seek guidance on managing stock market risks effectively. #Featured #Trending

Continue Reading

Trending Now