Microsoft to Cut 9k Workers in Second Wave of Major Layoffs

(www.bloomberg.com)

209 points htrp | 2 comments | 02 Jul 25 13:26 UTC | HN request time: 0.545s | source

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crmd ◴[02 Jul 25 16:06 UTC] No.44445401[source]▶

I don’t remember when it became normalized for profitable companies to casually execute major layoffs. It used to be a “shameful” last resort that CEOs turned to as a last ditch effort to save a company facing bankruptcy.

I suspect it’s related to the stock buyback safe harbor rule (Rule 10b-18.) Layoff announcements used to be a sign of a company in crisis, now the stock price often immediately rises, perhaps because shareholders are anticipating a short-term windfall.

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1. rl1987 ◴[02 Jul 25 18:42 UTC] No.44447349[source]▶

>>44445401 #

Twitter layoffs of 2022 might have been the Lehman Brothers moment that marked the end of programming gold rush.

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2. disqard ◴[03 Jul 25 04:23 UTC] No.44451612[source]▶

>>44447349 (TP) #

I think you're spot-on!

It was a first, and then the entire collection of CEOs showcased their herd mentality by jumping on that bandwagon. It's kinda like the anti-poaching collusion that happened... gosh, 10 years ago!

https://www.cnet.com/tech/tech-industry/apple-google-others-...

...only, this time, there's some bullshit "economic headwinds" arguments being advanced as reasons for these layoffs.

I remember experiencing actual belt-tightening in 2008-09, where it was disgraceful-but-necessary-to-save-the-company. It's nothing like that this time around.

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