{"id":3650,"date":"2024-10-15T12:26:20","date_gmt":"2024-10-15T12:26:20","guid":{"rendered":"https:\/\/www.hirist.tech\/blog\/?p=3650"},"modified":"2026-04-22T04:18:23","modified_gmt":"2026-04-22T04:18:23","slug":"tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more","status":"publish","type":"post","link":"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/","title":{"rendered":"Tech Layoffs 2026: IT Layoffs Meaning, Reason, Labour Law &#038; More"},"content":{"rendered":"\n<p>Are you feeling uncertain about your job in the tech industry?&nbsp;With over 150,000&nbsp;<strong>tech layoffs<\/strong>&nbsp;last year alone \u2013 many workers are facing tough times.<\/p>\n\n\n\n<p>Understanding what layoffs mean and why they happen is important for anyone affected.&nbsp;<\/p>\n\n\n\n<p>In this blog, we\u2019ll discuss the reasons behind <strong>IT job cuts<\/strong>, the labour laws that protect workers, and what you can do to manage this challenging situation.&nbsp;<\/p>\n\n\n\n<p>This guide will help you make sense of the current situation and prepare better for tech layoffs in 2026.&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_is_Layoff\" title=\"What is Layoff?\">What is Layoff?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_Do_Tech_Layoffs_Mean\" title=\"What Do Tech Layoffs Mean?\">What Do Tech Layoffs Mean?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#The_Reasons_Behind_IT_Layoffs\" title=\"The Reasons Behind IT Layoffs&nbsp;\">The Reasons Behind IT Layoffs&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Recent_Layoffs_in_the_IT_Sector_2025_%E2%80%93_2026\" title=\"Recent Layoffs in the IT Sector (2025 \u2013 2026)\">Recent Layoffs in the IT Sector (2025 \u2013 2026)<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#August_Layoffs_2025_%E2%80%93_600_Employees\" title=\"August Layoffs 2025 \u2013 600+ Employees\">August Layoffs 2025 \u2013 600+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#July_Layoffs_2025_%E2%80%93_16000_Employees\" title=\"July Layoffs 2025 \u2013 16,000+ Employees\">July Layoffs 2025 \u2013 16,000+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#June_Layoffs_2025_%E2%80%93_1600_Employees\" title=\"June Layoffs 2025 \u2013 1,600+ Employees\">June Layoffs 2025 \u2013 1,600+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#May_Layoffs_2025_%E2%80%93_10000_Employees\" title=\"May Layoffs 2025 \u2013 10,000+ Employees\">May Layoffs 2025 \u2013 10,000+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#April_Layoffs_2025_%E2%80%93_23400_Employees\" title=\"April Layoffs 2025 \u2013 23,400+ Employees\">April Layoffs 2025 \u2013 23,400+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#March_Layoffs_2025_%E2%80%93_8834_Employees\" title=\"March Layoffs 2025 \u2013 8,834+ Employees\">March Layoffs 2025 \u2013 8,834+ Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#February_Layoffs_2025_%E2%80%93_16234_Employees\" title=\"February Layoffs 2025 \u2013 16,234 + Employees\">February Layoffs 2025 \u2013 16,234 + Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#January_Layoffs_2025_%E2%80%93_2403_Employees\" title=\"January Layoffs 2025 \u2013 2,403+ Employees\">January Layoffs 2025 \u2013 2,403+ Employees<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Labour_Law_Regarding_IT_Layoffs\" title=\"Labour Law Regarding IT Layoffs\">Labour Law Regarding IT Layoffs<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_Is_Layoff_in_Labour_Law\" title=\"What Is Layoff in Labour Law?\">What Is Layoff in Labour Law?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Conditions_for_Implementing_Layoffs\" title=\"Conditions for Implementing Layoffs&nbsp;\">Conditions for Implementing Layoffs&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Industrial_Disputes_Act_IDA_and_IT_Layoffs\" title=\"Industrial Disputes Act (IDA) and IT Layoffs\">Industrial Disputes Act (IDA) and IT Layoffs<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Employment_Contracts_in_IT\" title=\"Employment Contracts in IT\">Employment Contracts in IT<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Definition_of_%E2%80%9CWorkman%E2%80%9D\" title=\"Definition of &#8220;Workman&#8221;\">Definition of &#8220;Workman&#8221;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Labour_Court_for_Workmen\" title=\"Labour Court for Workmen\">Labour Court for Workmen<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Legal_Options_for_Employees\" title=\"Legal Options for Employees\">Legal Options for Employees<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Compensation_Rules_for_Lay_off_in_Labour_Law\" title=\"Compensation Rules for Lay off in Labour Law\">Compensation Rules for Lay off in Labour Law<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Other_Relevant_Laws\" title=\"Other Relevant Laws\">Other Relevant Laws<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-23\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#How_to_Avoid_Tech_Layoffs\" title=\"How to Avoid Tech Layoffs?\">How to Avoid Tech Layoffs?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-24\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_to_Do_When_Laid_Off\" title=\"What to Do When Laid Off?\">What to Do When Laid Off?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-25\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_is_Recession\" title=\"What is Recession?\">What is Recession?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-26\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#The_Relation_between_Recession_and_Tech_Layoffs\" title=\"The Relation between Recession and Tech Layoffs&nbsp;\">The Relation between Recession and Tech Layoffs&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-27\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#IT_Companies_That_Are_Laying_Off_in_2025_Updated\" title=\"IT Companies That Are Laying Off in 2025 (Updated)\">IT Companies That Are Laying Off in 2025 (Updated)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-28\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Wrapping_Up\" title=\"Wrapping Up\">Wrapping Up<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-29\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#FAQs\" title=\"FAQs\">FAQs<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-30\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_are_mass_lay_offs\" title=\"What are mass lay offs?\">What are mass lay offs?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-31\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_are_big_tech_layoffs\" title=\"What are big tech layoffs?\">What are big tech layoffs?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-32\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Are_there_any_upcoming_layoffs\" title=\"Are there any upcoming layoffs?\">Are there any upcoming layoffs?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-33\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_is_corporate_downsizing\" title=\"What is corporate downsizing?\">What is corporate downsizing?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-34\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_does_employee_retrenchment_mean\" title=\"What does employee retrenchment mean?\">What does employee retrenchment mean?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-35\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#How_can_I_find_layoff_today\" title=\"How can I find layoff today?\">How can I find layoff today?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-36\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Where_can_I_find_layoffs_last_24_hours\" title=\"Where can I find layoffs last 24 hours?\">Where can I find layoffs last 24 hours?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-37\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Why_are_start_up_layoffs_increasing_in_the_tech_sector\" title=\"Why are start up layoffs increasing in the tech sector?\">Why are start up layoffs increasing in the tech sector?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-38\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#What_were_the_number_of_tech_layoffs_2024\" title=\"What were the number of tech layoffs 2024?\">What were the number of tech layoffs 2024?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-39\" href=\"https:\/\/www.hirist.tech\/blog\/tech-layoffs-2024-it-layoffs-meaning-reason-labour-law-more\/#Are_there_layoffs_in_USA\" title=\"Are there layoffs in USA?\">Are there layoffs in USA?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_Layoff\"><\/span>What is Layoff?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Let\u2019s start with <strong>company layoffs meaning<\/strong>.&nbsp;<\/p>\n\n\n\n<p>A layoff happens when a company reduces its workforce to save money or adjust to lower demand for its products or services. It\u2019s not the same as being fired for poor performance; layoffs often occur because the company is facing financial challenges or restructuring.&nbsp;<\/p>\n\n\n\n<p>Employees who are laid off may receive severance pay or unemployment benefits, depending on the situation and local labour laws. While layoffs can be temporary &#8211; they can also lead to permanent job loss. This process impacts both employees and the company &#8211; causing uncertainty for those affected.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_Do_Tech_Layoffs_Mean\"><\/span>What Do Tech Layoffs Mean?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>Tech layoffs<\/strong> refer to companies in the technology sector reducing their workforce due to various reasons like \u2013&nbsp;<\/p>\n\n\n\n<ul>\n<li>Economic downturns<\/li>\n\n\n\n<li>Changes in business strategies<\/li>\n\n\n\n<li>Slowing demand for products and services<\/li>\n<\/ul>\n\n\n\n<p><strong>Layoff in tech<\/strong> isn\u2019t always a reflection of the workers&#8217; performance but is often tied to a company&#8217;s financial challenges or the need to cut costs. Many tech giants, as well as startups, may undergo <strong>job cuts<\/strong> to stay competitive or shift focus.&nbsp;<\/p>\n\n\n\n<p>Unfortunately, <strong>tech companies lay offs<\/strong> impact thousands of employees &#8211; leading to job loss and uncertainty about the future &#8211; especially in a rapidly changing industry.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/top-70-product-manager-interview-questions-and-answers\/\" target=\"_blank\" rel=\"noreferrer noopener\">Top 70+ Product Manager Interview Questions and Answers<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Reasons_Behind_IT_Layoffs\"><\/span>The Reasons Behind IT Layoffs&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Are you wondering <strong>why layoffs are happening<\/strong> in the IT industry? Well, here are the key reasons behind job cuts in the tech sector.&nbsp;<\/p>\n\n\n\n<ol>\n<li><strong>Economic Slowdowns<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Fears of a recession and economic instability are key drivers of layoffs in the IT sector. During periods of economic uncertainty &#8211; businesses often take measures to reduce costs, and cutting staff is a common approach. Tech companies, facing reduced revenue and profits &#8211; often turn to layoffs as a cost-saving strategy during these tough times.<\/p>\n\n\n\n<ol start=\"2\">\n<li><strong>Impact of Artificial Intelligence (AI)<\/strong><\/li>\n<\/ol>\n\n\n\n<p>AI is reshaping the tech job market, with companies prioritizing hiring employees with AI-related skills. However, for roles that can be automated, the risk of layoffs increases. It is estimated that 30% of U.S. jobs could be automated by 2030. Also, with more than 8,000 layoffs in India&#8217;s tech industry, companies like Paytm and Unacademy are focusing on reducing costs and using AI.&nbsp;<\/p>\n\n\n\n<p>While AI boosts productivity in some areas, it also leads to downsizing in positions that become redundant. Companies like IBM have already announced job reductions as they transition certain tasks to AI.<\/p>\n\n\n\n<ol start=\"3\">\n<li><strong>Rising Inflation<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Inflation has led to increased costs for businesses, forcing many to evaluate their operations. For tech companies that rely on advertising revenue &#8211; inflation has reduced spending by advertisers, impacting overall profits. To counterbalance rising costs, companies have had to reduce their workforce, contributing to the spike in <strong>IT layoffs<\/strong>.<\/p>\n\n\n\n<ol start=\"4\">\n<li><strong>Interest Rate Hikes<\/strong><\/li>\n<\/ol>\n\n\n\n<p>With the Federal Reserve raising interest rates &#8211; borrowing has become more expensive for companies &#8211; leading to reduced investment in growth and innovation. This has particularly affected startups which rely on venture capital funding. As investors become more cautious &#8211; tech firms face reduced funding, forcing them to scale back their operations, often by cutting jobs.<\/p>\n\n\n\n<ol start=\"5\">\n<li><strong>Pandemic Overstaffing<\/strong><\/li>\n<\/ol>\n\n\n\n<p>During the pandemic, tech companies hired aggressively to meet the rising demand for digital services. As more people worked, shopped, and socialized online, companies expanded their teams to keep up. However, with the return to more normal patterns of behaviour, many tech firms now find themselves overstaffed. As a result, layoffs have become a necessary correction after the pandemic hiring surge.<\/p>\n\n\n\n<ol start=\"6\">\n<li><strong>Investor Expectations<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Investors expect companies to maintain profitability even when revenue growth slows. This pressure has led many tech firms to cut costs by reducing their headcount. Companies like Meta and Alphabet have faced demands from investors to improve efficiency &#8211; resulting in significant layoffs. As profit expectations remain high &#8211; layoffs are often seen as a necessary step to meet financial goals.<\/p>\n\n\n\n<ol start=\"7\">\n<li><strong>Post-Pandemic Adjustments<\/strong><\/li>\n<\/ol>\n\n\n\n<p>As people return to in-person activities &#8211; the demand for certain tech services has decreased. Many employees hired during the pandemic for remote work and digital solutions are no longer needed. Tech companies are now trimming down their workforce to adjust to lower demand &#8211; leading to layoffs in roles that were essential during the pandemic but are no longer as critical.<\/p>\n\n\n\n<ol start=\"8\">\n<li><strong>Silicon Valley Bank Crisis<\/strong><\/li>\n<\/ol>\n\n\n\n<p>The collapse of Silicon Valley Bank in 2023 had a ripple effect on the tech industry &#8211; particularly for startups. SVB was a key lender to tech startups, and its collapse has made it harder for these companies to secure funding. As a result, many startups are facing financial difficulties &#8211; leading to <strong>job cuts<\/strong> as they try to stay afloat.<\/p>\n\n\n\n<ol start=\"9\">\n<li><strong>Industry Maturity<\/strong><\/li>\n<\/ol>\n\n\n\n<p>The tech sector has grown rapidly over the past few decades, but it is now reaching a more stable phase. Many companies have already captured a large portion of their target markets &#8211; leading to slower growth. With fewer opportunities for expansion, tech firms are focusing on efficiency and profitability &#8211; which often includes reducing staff.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Recent_Layoffs_in_the_IT_Sector_2025_%E2%80%93_2026\"><\/span>Recent Layoffs in the IT Sector (2025 \u2013 2026)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>According to Layoffs.fyi, 179 tech companies have laid off a combined 80,945 employees in 2025.\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"August_Layoffs_2025_%E2%80%93_600_Employees\"><\/span>August Layoffs 2025 \u2013 600+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Yotpo<\/td><td>~200 employees (34%)<\/td><td>Closing Email and SMS marketing units to focus on core products and AI-driven tools.<\/td><\/tr><tr><td>Peloton<\/td><td>6% of workforce<\/td><td>Sixth round of cuts in a year to strengthen long-term business health.<\/td><\/tr><tr><td>Wondery<\/td><td>~100 employees<\/td><td>Part of Amazon\u2019s reorganization of audio operations under Audible.<\/td><\/tr><tr><td>Windsurf<\/td><td>~30 employees + buyouts<\/td><td>AI coding startup, now owned by Cognition, reducing staff after recent acquisition.<\/td><\/tr><tr><td>Kaltura<\/td><td>~70 employees (10%)<\/td><td>Cost-cutting plan to save $8.5M annually while expanding AI-powered product adoption.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"July_Layoffs_2025_%E2%80%93_16000_Employees\"><\/span>July Layoffs 2025 \u2013 16,000+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Zeen<\/td><td>Full shutdown<\/td><td>Creator-focused social collaging startup closing after struggling to grow its user base.<\/td><\/tr><tr><td>Intel<\/td><td>~2,400 employees in Oregon<\/td><td>Large-scale cut, nearly five times earlier estimates, affecting the state\u2019s workforce.<\/td><\/tr><tr><td>Lenovo<\/td><td>100+ U.S. jobs (3%)<\/td><td>Reduction includes roles at its North Carolina campus.<\/td><\/tr><tr><td>ByteDance<\/td><td>65 employees<\/td><td>Trimming staff in Bellevue, WA, within its TikTok Shop operations.<\/td><\/tr><tr><td>Atlassian<\/td><td>150 employees<\/td><td>Cuts in customer service and support as upgraded tools reduce support needs.<\/td><\/tr><tr><td>Microsoft<\/td><td>9,000 employees (&lt;4%)<\/td><td>Global workforce reduction across teams and geographies, following earlier 2025 layoffs.<\/td><\/tr><tr><td>Scale AI<\/td><td>200 employees (14%) + 500 contractors<\/td><td>Downsizing staff and ending contractor ties amid organizational changes.<\/td><\/tr><tr><td>ConsenSys<\/td><td>47 employees (7%)<\/td><td>Blockchain firm reducing staff as part of its push toward profitability.<\/td><\/tr><tr><td>Indeed &amp; Glassdoor<\/td><td>~1,300 employees combined<\/td><td>Parent company Recruit Holdings merging operations and shifting focus to AI.<\/td><\/tr><tr><td>Eigen Labs<\/td><td>29 employees (25%)<\/td><td>Restructuring at blockchain-focused research startup after launching EigenCloud.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"June_Layoffs_2025_%E2%80%93_1600_Employees\"><\/span>June Layoffs 2025 \u2013 1,600+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Klue<\/td><td>85 employees (40%)<\/td><td>Vancouver-based AI business intelligence firm trimming staff to cut costs.<\/td><\/tr><tr><td>Microsoft<\/td><td>Undisclosed<\/td><td>Further job cuts affecting tech, marketing, and legal roles after May layoffs.<\/td><\/tr><tr><td>Google<\/td><td>~75 employees (25% of division)<\/td><td>Downsizing its smart TV team as budgets shift toward AI projects.<\/td><\/tr><tr><td>Playtika<\/td><td>~90 employees<\/td><td>Gaming company reducing teams in Israel and Poland after earlier layoffs.<\/td><\/tr><tr><td>TomTom<\/td><td>300 employees (10%)<\/td><td>Restructuring sales and support teams amid AI transition.<\/td><\/tr><tr><td>Rivian<\/td><td>~140 employees (1%)<\/td><td>Cuts in manufacturing to streamline operations.<\/td><\/tr><tr><td>Intel<\/td><td>15\u201320% of Foundry division<\/td><td>Scaling back Foundry unit and closing its automotive business.<\/td><\/tr><tr><td>Airtime<\/td><td>~25 employees<\/td><td>Video startup reducing nearly half of its team.<\/td><\/tr><tr><td>Bumble<\/td><td>~240 employees (30%)<\/td><td>Workforce cut to save $40M and invest in product growth.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"May_Layoffs_2025_%E2%80%93_10000_Employees\"><\/span>May Layoffs 2025 \u2013 <strong>10,000+ Employees<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Microsoft<\/td><td>6,500+ employees<\/td><td>Workforce reduction of 3% globally.<\/td><\/tr><tr><td>Amazon<\/td><td>~100 employees<\/td><td>Cuts in Devices &amp; Services division, including Alexa, Echo, Ring, and Zoox projects.<\/td><\/tr><tr><td>Chegg<\/td><td>248 employees (22%)<\/td><td>Downsizing due to declining web traffic as students shift toward AI-based study tools.<\/td><\/tr><tr><td>Match Group<\/td><td>~13% of workforce<\/td><td>Reorganization focused on reducing expenses and improving operational efficiency.<\/td><\/tr><tr><td>CrowdStrike<\/td><td>~500 employees (5%)<\/td><td>Strategic shift to streamline operations and drive toward $10B annual recurring revenue.<\/td><\/tr><tr><td>General Fusion<\/td><td>~25% of workforce<\/td><td>Downsizing amid internal adjustments; backed by major investors including Jeff Bezos.<\/td><\/tr><tr><td>Deep Instinct<\/td><td>20 employees (10%)<\/td><td>Small-scale reduction following a similar layoff event in 2023.<\/td><\/tr><tr><td>Beam<\/td><td>~200 employees<\/td><td>British climate-tech firm shut down after scaling efforts stalled; confirmed via internal sources.<\/td><\/tr><tr><td>Hims &amp; Hers<\/td><td>68 employees (4%)<\/td><td>San Francisco telehealth firm cutting staff in a move unrelated to U.S. weight-loss drug regulations.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"April_Layoffs_2025_%E2%80%93_23400_Employees\"><\/span>April Layoffs 2025 \u2013 23,400+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Expedia<\/td><td>~3% of workforce<\/td><td>Tech and product teams affected; follows March marketing staff reductions.<\/td><\/tr><tr><td>Cars24<\/td><td>200 employees<\/td><td>India-based auto platform restructures tech and product units.<\/td><\/tr><tr><td>Meta<\/td><td>100+ employees<\/td><td>Reality Labs cuts focus on VR and hardware teams working on Quest projects.<\/td><\/tr><tr><td>Intel<\/td><td>21,000 employees (20%)<\/td><td>Major workforce reduction ahead of earnings call under new CEO.<\/td><\/tr><tr><td>GM<\/td><td>200 employees<\/td><td>EV plant staff cut in Michigan amid industry-wide demand dip.<\/td><\/tr><tr><td>GupShup<\/td><td>200 employees<\/td><td>Second layoff wave in 5 months to improve operational efficiency.<\/td><\/tr><tr><td>Wicresoft<\/td><td>~2,000 employees<\/td><td>Shuts China operations after Microsoft ends outsourcing partnership.<\/td><\/tr><tr><td>Google<\/td><td>Several hundred employees<\/td><td>Cuts across Android, Chrome, and Pixel teams under platform restructuring.<\/td><\/tr><tr><td>Microsoft<\/td><td>Pending layoffs<\/td><td>Potential May cuts targeting middle managers and non-tech roles.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"March_Layoffs_2025_%E2%80%93_8834_Employees\"><\/span>March Layoffs 2025 \u2013 8,834+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Block<\/td><td>931 employees (8%)<\/td><td>Internal restructuring; not driven by finances or AI replacement.<\/td><\/tr><tr><td>Acxiom<\/td><td>130 employees (3.5%)<\/td><td>Reductions after IPG and Omnicom merger approval.<\/td><\/tr><tr><td>Siemens<\/td><td>5,600 employees<\/td><td>Global workforce cuts in EV charging and automation units to sharpen focus.<\/td><\/tr><tr><td>Otorio<\/td><td>45 employees (50%+)<\/td><td>Layoffs followed acquisition by Armis in the cybersecurity space.<\/td><\/tr><tr><td>NASA<\/td><td>Undisclosed<\/td><td>Closure of DEI and tech policy offices; part of a federal reorganization.<\/td><\/tr><tr><td>Zonar Systems<\/td><td>Unknown<\/td><td>Layoffs hinted at through staff posts; no official confirmation yet.<\/td><\/tr><tr><td>Wayfair<\/td><td>340 employees<\/td><td>Further tech division layoffs amid continued restructuring.<\/td><\/tr><tr><td>TikTok<\/td><td>Up to 300 employees (10% in Ireland)<\/td><td>Dublin roles affected; strategic refocus underway.<\/td><\/tr><tr><td>Ola Electric<\/td><td>Over 1,000 employees\/contractors<\/td><td>Second round of major layoffs to curb expenses.<\/td><\/tr><tr><td>ANS Commerce<\/td><td>Full shutdown<\/td><td>Flipkart-acquired startup ceased operations within three years; staff count unknown.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"February_Layoffs_2025_%E2%80%93_16234_Employees\"><\/span>February Layoffs 2025 \u2013 16,234 + Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>HP<\/td><td>Up to 2,000 employees<\/td><td>Part of its \u201cFuture Now\u201d strategy aiming to cut $300M in costs this fiscal year.<\/td><\/tr><tr><td>Autodesk<\/td><td>1,350 employees (9%)<\/td><td>Restructuring GTM operations; trimming real estate footprint without closures.<\/td><\/tr><tr><td>Google<\/td><td>Undisclosed<\/td><td>Cuts in HR and cloud teams; U.S. staff offered voluntary exit program.<\/td><\/tr><tr><td>eBay<\/td><td>Dozens in Israel<\/td><td>Estimated 10% of Israeli staff let go for operational consolidation.<\/td><\/tr><tr><td>Dayforce<\/td><td>5% of total workforce<\/td><td>Workforce streamlined to improve efficiency and drive long-term growth.<\/td><\/tr><tr><td>Zendesk<\/td><td>51 employees<\/td><td>San Francisco HQ affected; follows prior reductions in 2023.<\/td><\/tr><tr><td>Logically<\/td><td>Dozens<\/td><td>Cost-saving actions to stay viable while tackling misinformation.<\/td><\/tr><tr><td>Blue Origin<\/td><td>Over 1,000 employees (10%)<\/td><td>Cuts mostly in engineering and program management roles.<\/td><\/tr><tr><td>Unity<\/td><td>Unknown<\/td><td>Another layoff round, but specific impact yet to be confirmed.<\/td><\/tr><tr><td>Bird<\/td><td>120 employees (33%)<\/td><td>Layoffs come after previous 2024 cuts and business model adjustments.<\/td><\/tr><tr><td>Workday<\/td><td>1,750 employees (8.5%)<\/td><td>Broad job reductions amid realignment of internal functions.<\/td><\/tr><tr><td>Okta<\/td><td>180 employees<\/td><td>Follow-up to last year\u2019s workforce reduction of 400 people.<\/td><\/tr><tr><td>Cruise<\/td><td>50% of workforce<\/td><td>Company preparing to shut down, leadership also departing.<\/td><\/tr><tr><td>Salesforce<\/td><td>1,000+ employees<\/td><td>Downsizing continues despite ongoing hiring for AI-related roles.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"January_Layoffs_2025_%E2%80%93_2403_Employees\"><\/span>January Layoffs 2025 \u2013 2,403+ Employees<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Layoffs<\/strong><\/td><td><strong>Reason\/Details<\/strong><\/td><\/tr><tr><td>Cushion<\/td><td>Full shutdown<\/td><td>Ceased operations; CEO announced closure on LinkedIn.&nbsp;<\/td><\/tr><tr><td>Amazon<\/td><td>Dozens in comms department<\/td><td>Downsizing aimed at speeding up execution and tightening customer focus.<\/td><\/tr><tr><td>Stripe<\/td><td>300 employees<\/td><td>Leaked memo reveals cuts, even as headcount expansion is expected this year.<\/td><\/tr><tr><td>Pocket FM<\/td><td>75 employees<\/td><td>Workforce reduction to support long-term business stability.<\/td><\/tr><tr><td>Aurora Solar<\/td><td>58 employees<\/td><td>Cuts driven by economic pressures and solar market instability.<\/td><\/tr><tr><td>Meta<\/td><td>5% of workforce<\/td><td>Internal memo suggests cuts for \u201clow performers\u201d ahead of a demanding year.<\/td><\/tr><tr><td>Wayfair<\/td><td>730 employees (3%)<\/td><td>Exiting German market, shifting focus toward in-store retail partnerships.<\/td><\/tr><tr><td>Icon<\/td><td>114 employees<\/td><td>Workforce realigned to focus more on robotic printing systems.<\/td><\/tr><tr><td>Altruist<\/td><td>37 employees (10%)<\/td><td>Despite hiring plans, company trims team to stay lean and focused.<\/td><\/tr><tr><td>Aqua Security<\/td><td>Dozens of employees<\/td><td>Global workforce reshuffled as part of strategic planning.<\/td><\/tr><tr><td>Level<\/td><td>Full shutdown<\/td><td>Fintech firm closed after failing to secure a buyer.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Labour_Law_Regarding_IT_Layoffs\"><\/span>Labour Law Regarding IT Layoffs<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>In India, the <strong>Industrial Disputes Act of 1947 (IDA)<\/strong> deals with layoffs &#8211; but it doesn\u2019t cover IT workers. The tech industry in India is primarily governed by individual <a href=\"https:\/\/www.hirist.tech\/blog\/all-about-employment-bond-agreement-for-employees\/\" target=\"_blank\" rel=\"noreferrer noopener\">employment contracts<\/a>.&nbsp;<\/p>\n\n\n\n<p>Here\u2019s an overview of the legal framework that applies to <strong>layoff in tech<\/strong>:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_Is_Layoff_in_Labour_Law\"><\/span>What Is Layoff in Labour Law?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Under the <a href=\"https:\/\/indiankanoon.org\/doc\/170895987\/#:~:text=(kkk)%5B%20%22lay%2D,%2C%20Section%202%20(w.e.f.%2024.10.\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>Industrial Disputes Act, 1997 &#8211; Section 2 (kkk)<\/strong><\/a> &#8211; a layoff is defined as a situation where an employer cannot provide work to employees due to various factors. Importantly, layoffs are temporary measures, distinct from retrenchments, which signify permanent job loss.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conditions_for_Implementing_Layoffs\"><\/span>Conditions for Implementing Layoffs&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Before laying off workers, employers must meet certain rules under the Industrial Disputes Act:<\/p>\n\n\n\n<ul>\n<li>Employers must show they can&#8217;t provide work due to various challenges.<\/li>\n\n\n\n<li>Only employees listed on the company\u2019s roll are eligible for layoffs.<\/li>\n\n\n\n<li>Layoffs should be temporary, not permanent <strong>job cuts<\/strong>.<\/li>\n\n\n\n<li>Layoffs should result from issues like shortages of power, machinery, or natural disasters.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Industrial_Disputes_Act_IDA_and_IT_Layoffs\"><\/span>Industrial Disputes Act (IDA) and IT Layoffs<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>The IDA explains what a layoff is, but it mainly applies to workers in industries like manufacturing or construction. It doesn&#8217;t apply to IT employees or those in managerial or supervisory roles.<\/p>\n\n\n\n<p>The law focuses on &#8220;workmen,&#8221; which refers to employees who perform manual or technical work. Most IT workers and higher-level employees are not included under this definition, so they can\u2019t use the IDA for legal protection when facing layoffs.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/top-10-it-companies-offering-permanent-work-from-home-2023\/\" target=\"_blank\" rel=\"noreferrer noopener\">Top 10+ IT Companies Offering Permanent Work from Home (2024)<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Employment_Contracts_in_IT\"><\/span>Employment Contracts in IT<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Most IT professionals work under detailed employment contracts. These contracts outline the rights and obligations of both the employee and the company. If you\u2019ve been laid off, your first step is to review the contract to ensure all agreed-upon conditions were followed, including notice periods, severance pay, and other benefits.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Definition_of_%E2%80%9CWorkman%E2%80%9D\"><\/span>Definition of &#8220;Workman&#8221;<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>While the IDA defines layoffs and offers protection for &#8220;workmen,&#8221; this term usually refers to manual labourers or technical workers in industries like manufacturing. Most IT employees, especially those in managerial or supervisory roles, are not included under this law. However, certain technical roles like developers or coders might still be considered &#8220;workmen&#8221; depending on their job duties.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Labour_Court_for_Workmen\"><\/span>Labour Court for Workmen<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>If you fall under the definition of &#8220;workman&#8221; as outlined by the IDA, you can take your case to the labour courts. The law specifies that a workman is someone engaged in manual, skilled, technical, or operational work.&nbsp;<\/p>\n\n\n\n<p>Employees who meet this criterion and have worked for more than 240 days in a year are entitled to protection under the IDA. This means the company cannot terminate them without following proper procedures, such as obtaining government permission.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Legal_Options_for_Employees\"><\/span>Legal Options for Employees<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Even though the IDA might not apply, employees still have legal options if they feel they\u2019ve been laid off unfairly or if their company hasn\u2019t followed the terms of their contract.&nbsp;<\/p>\n\n\n\n<p>If your employer doesn\u2019t follow the agreed terms for layoffs &#8211; you can file a civil lawsuit for breach of contract. For instance, if the contract specifies a three-month severance package but the company fails to provide it, you can sue for damages under the Indian Contract Act, 1860. However, civil cases can be time-consuming and expensive.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/silicon-valley-of-india-how-bangalore-became-the-thriving-tech-hub\/\" target=\"_blank\" rel=\"noreferrer noopener\">Silicon Valley of India: How Bangalore Became The Thriving Tech Hub?<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Compensation_Rules_for_Lay_off_in_Labour_Law\"><\/span>Compensation Rules for Lay off in Labour Law<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If employees have worked continuously for 12 months or more before being laid off, they are entitled to certain benefits. According to <strong>Section 25C of the Industrial Dispute Act<\/strong>, they should receive half of their basic salary along with a dearness allowance (an extra amount given to help deal with the rising cost of living).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Other_Relevant_Laws\"><\/span>Other Relevant Laws<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Several other laws also deal with <strong>laying off employees<\/strong> and terminations. These include:<\/p>\n\n\n\n<ul>\n<li>The <strong>Industrial Relations Code (IR Code)<\/strong> which covers issues related to employment terms and disputes.<\/li>\n\n\n\n<li>The <strong>Industrial Employment (Standing Orders) Act of 1946 (IESA)<\/strong> which outlines conditions for terminating employees.<\/li>\n\n\n\n<li>The <strong>Shops and Establishments Act (SEA)<\/strong> which regulates working conditions in smaller businesses, including IT companies.<\/li>\n<\/ul>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/tier-2-cities-emerging-as-the-new-tech-cities-in-india\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tier-2 Cities Emerging As The New Tech Cities in India<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_Avoid_Tech_Layoffs\"><\/span>How to Avoid Tech Layoffs?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As a tech employee in India, avoiding layoffs requires proactive steps to stay valuable in your role. Here are some tips to help you stay secure if <strong>companies are laying off<\/strong>.&nbsp;<\/p>\n\n\n\n<ol>\n<li><strong>Upskill Continuously<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Technology evolves rapidly. Focus on <a href=\"https:\/\/www.hirist.tech\/blog\/top-10-most-popular-programming-languages-of-the-future\/\" target=\"_blank\" rel=\"noreferrer noopener\">learning new skills<\/a> that are in demand, like AI, cloud computing, and cybersecurity. Take online courses or certifications to stay competitive.<\/p>\n\n\n\n<ol start=\"2\">\n<li><strong>Network Internally and Externally<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Build strong relationships with colleagues, mentors, and industry peers. Networking increases visibility and helps you stay informed about internal opportunities or shifts in the company.<\/p>\n\n\n\n<ol start=\"3\">\n<li><strong>Show Flexibility<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Be open to taking on new roles or responsibilities. Adaptability is key to demonstrating your value during uncertain times. Offering to work on projects outside your usual tasks can show your commitment.<\/p>\n\n\n\n<ol start=\"4\">\n<li><strong>Track Your Contributions<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Regularly document your achievements and contributions to the team or company. This helps during performance reviews or if <strong>jobs layoffs<\/strong> are being discussed &#8211; giving you leverage to highlight your impact.<\/p>\n\n\n\n<ol start=\"5\">\n<li><strong>Stay Informed About the Company\u2019s Health<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Pay attention to news about <strong>IT sector layoffs<\/strong> and your company\u2019s financial health. Knowing if they\u2019re struggling can help you plan ahead, like considering job searches early.<\/p>\n\n\n\n<ol start=\"6\">\n<li><strong>Seek Feedback Regularly<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Don\u2019t wait for yearly reviews. Ask for feedback from your managers often. Use it to improve and <a href=\"https:\/\/www.hirist.tech\/blog\/goal-setting-for-appraisal-guide-for-employees\/\" target=\"_blank\" rel=\"noreferrer noopener\">align your work with the company\u2019s goals<\/a>.<\/p>\n\n\n\n<ol start=\"7\">\n<li><strong>Look for Better Job Opportunities<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Keep an eye on job openings through platforms like Hirist. It\u2019s an excellent resource for finding tech roles that align with your expertise and career goals.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/a-complete-guide-to-it-job-fair-in-india\/\" target=\"_blank\" rel=\"noreferrer noopener\">A Complete Guide to IT Job Fairs in India<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_to_Do_When_Laid_Off\"><\/span>What to Do When Laid Off?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Being laid off can be overwhelming &#8211; but it\u2019s important to stay calm and focused on your next steps. Here\u2019s what <strong>laid off workers<\/strong><strong><\/strong> can do to move forward:<\/p>\n\n\n\n<ol>\n<li><strong>Review Your Contract<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Carefully go through your employment contract. Check if you\u2019re entitled to severance pay, <a href=\"https:\/\/www.hirist.tech\/blog\/all-about-serving-notice-period-indian-laws-negotiation-leave-policy\/\" target=\"_blank\" rel=\"noreferrer noopener\">notice periods<\/a>, or any other benefits when it comes to <strong>IT industry layoffs<\/strong>.<\/p>\n\n\n\n<ol start=\"2\">\n<li><strong>Claim Benefits<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Some companies provide health insurance or severance packages. Make sure to claim all available benefits to help you during the transition period.<\/p>\n\n\n\n<ol start=\"3\">\n<li><strong>Check Legal Options<\/strong><\/li>\n<\/ol>\n\n\n\n<p>If you feel the layoff was unfair &#8211; you can explore legal remedies. Consult a lawyer to understand if your termination violated your contract or employment laws.<\/p>\n\n\n\n<ol start=\"4\">\n<li><strong>Update Your Resume<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Take the time to <a href=\"https:\/\/www.hirist.tech\/blog\/how-to-make-a-resume-in-2023-beginners-guide-with-example\/\" target=\"_blank\" rel=\"noreferrer noopener\">refresh your resume<\/a>. Highlight your key achievements and skills, making sure it\u2019s ready to send to potential employers.<\/p>\n\n\n\n<ol start=\"5\">\n<li><strong>Reach Out to Your Network<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Let your professional contacts know you\u2019re available for new opportunities. Networking can open doors to job leads and recommendations.<\/p>\n\n\n\n<ol start=\"6\">\n<li><strong>Practice Self-Care<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Layoffs can be stressful, so take care of your mental and physical health. Exercise, meditate, or take time to relax and recharge before diving into your job search.<\/p>\n\n\n\n<ol start=\"7\">\n<li><strong>Upskill<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Use this time to learn new skills or improve existing ones. Enroll in online courses or certifications that can boost your employability during <strong>job cuts in IT sector<\/strong>.&nbsp;<\/p>\n\n\n\n<ol start=\"8\">\n<li><strong>Explore Job Portals<\/strong><\/li>\n<\/ol>\n\n\n\n<p>Visit job platforms like Hirist to find new roles that match your expertise. Regularly check for openings in your field and apply for positions.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/top-trending-h1b-visa-sponsorship-jobs-in-tech-sector\/\" target=\"_blank\" rel=\"noreferrer noopener\">Top Trending H1B Visa Sponsorship Jobs in Tech Sector<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_Recession\"><\/span>What is Recession?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A recession is a period when the economy slows down for an extended time &#8211; often lasting several months. During a recession, businesses may struggle, unemployment rates rise, and people spend less money.&nbsp;<\/p>\n\n\n\n<p>A<strong> Recession in tech industry<\/strong> means companies face slow growth, reduced profits, and may cut jobs. Startups and big tech firms alike may struggle to stay competitive &#8211; affecting innovation and investment in new technologies during tough economic times.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Relation_between_Recession_and_Tech_Layoffs\"><\/span>The Relation between Recession and Tech Layoffs&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Recession and <strong>layoff in tech<\/strong> are closely linked. When the economy slows down, companies across industries, including tech &#8211; face lower demand and reduced profits. To cut costs, many tech firms reduce their workforce &#8211; leading to widespread layoffs.&nbsp;<\/p>\n\n\n\n<p>This is often seen as a necessary move to stay afloat during tough times. As a result, IT professionals can lose their jobs even if they perform well. The uncertainty in the market also causes companies to pause hiring and delay projects. The impact of the <strong>layoff recession<\/strong> on creates challenges for both workers and businesses &#8211; affecting the industry\u2019s overall growth.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/recession-in-it-sector-when-will-it-start-and-end\/\" target=\"_blank\" rel=\"noreferrer noopener\">Recession in IT Sector 2024-25: When Will It Start and End<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"IT_Companies_That_Are_Laying_Off_in_2025_Updated\"><\/span>IT Companies That Are Laying Off in 2025 (Updated)<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>Firing in IT companies<\/strong>\u00a0continues in 2025 \u2013 with over 80,000 employees let go by August. Here\u2019s the list of\u00a0<strong>IT companies firing employees<\/strong>.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><tbody><tr><td><strong>Company<\/strong><\/td><td><strong>Details of Layoffs<\/strong><\/td><\/tr><tr><td><strong>Microsoft<\/strong><\/td><td>Around 15,000 roles removed in 2025. The largest visible wave came in July, affecting 9,000 employees across global teams as part of internal restructuring.<\/td><\/tr><tr><td><strong>Google<\/strong><\/td><td>Cut 100+ design roles in October 2025, mainly in U.S. cloud teams. Earlier contractor reductions also affected 200+ roles in AI-led product workstreams.<\/td><\/tr><tr><td><strong>Apple<\/strong><\/td><td>Ended dozens of U.S. sales roles in November 2025 while reshaping how it works with enterprise and institutional clients. This was an uncommon workforce reduction move for the company.<\/td><\/tr><tr><td><strong>Amazon<\/strong><\/td><td>Trimmed 14,000 corporate roles in October, its biggest workforce reduction so far. Later, 660 roles were ended in New York offices, followed by 84 cuts announced for Seattle and Bellevue, with support pay and role transition programs included.<\/td><\/tr><tr><td><strong>Intel<\/strong><\/td><td>Wrapped up a 15% workforce reduction cycle. While hiring slowed in some verticals, the company also shared plans to reduce its core workforce to about 75,000 employees.<\/td><\/tr><tr><td><strong>TCS<\/strong><\/td><td>Reduced workforce by nearly 12,000 roles in 2025 (2% of total employees). The company stated the move was driven by skill realignment and business changes, not automation-based replacement.<\/td><\/tr><tr><td><strong>Meta<\/strong><\/td><td>Reduced 600 roles in September within AI and product infra units. Another 600 job cuts followed in October as part of internal rebalancing for faster product delivery.<\/td><\/tr><tr><td><strong>Salesforce<\/strong><\/td><td>Cut about 4,000 customer support roles using AI-powered workflows. Even with these reductions, the company continued hiring in specialised AI and product units.<\/td><\/tr><tr><td><strong>HP<\/strong><\/td><td>Up to 2,000 roles were reduced in February 2025. The company also shared long-term plans to remove 4,000 to 6,000 roles globally by 2028, as part of an efficiency-led business redesign.<\/td><\/tr><tr><td><strong>Verizon<\/strong><\/td><td>Announced more than 13,000 job reductions in 2025 in its largest cost and operations reshuffle. The changes focused on simplifying internal layers and reducing operating costs.<\/td><\/tr><tr><td><strong>Siemens<\/strong><\/td><td>Removed about 5,600 roles (8% of Digital Industries unit) in March 2025. The reduction was linked to tighter market conditions and internal efficiency goals.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/job-resignation-letter-format-samples-and-examples\/\" target=\"_blank\" rel=\"noreferrer noopener\">Job Resignation Letter Format, Samples and Examples<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Wrapping_Up\"><\/span>Wrapping Up<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>To wrap up, understanding <strong>tech layoffs<\/strong> in 2026 is important for everyone in the industry. Knowing the reasons behind these layoffs and your rights can help you prepare. If you\u2019re looking for new jobs, visit <a href=\"https:\/\/www.hirist.tech\/?ref=blog\" target=\"_blank\" rel=\"noreferrer noopener\">Hirist<\/a>. It\u2019s a great place to find the best tech jobs that fit your skills and goals.<\/p>\n\n\n\n<pre class=\"wp-block-verse\"><strong>Also Read - <a href=\"https:\/\/www.hirist.tech\/blog\/top-5-most-common-gd-interview-topics-with-answers\/\" target=\"_blank\" rel=\"noreferrer noopener\">Top 15+ Most Common GD Interview Topics with Answers<\/a><\/strong><\/pre>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"FAQs\"><\/span>FAQs<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_mass_lay_offs\"><\/span>What are mass lay offs?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Mass lay offs<\/strong> refer to a large number of employees being let go at once, often due to company issues.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_big_tech_layoffs\"><\/span>What are big tech layoffs?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Big tech layoffs<\/strong> happen when large technology companies reduce their workforce significantly, usually for financial reasons.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Are_there_any_upcoming_layoffs\"><\/span>Are there any upcoming layoffs?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Upcoming layoffs<\/strong> may be announced by companies due to economic factors; stay updated through news sources.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_corporate_downsizing\"><\/span>What is corporate downsizing?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Corporate downsizing<\/strong> is when a company reduces its size and workforce to improve efficiency or cut costs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_does_employee_retrenchment_mean\"><\/span>What does employee retrenchment mean?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Employee retrenchment<\/strong> is the process of laying off workers to reduce expenses, often during tough economic times.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_can_I_find_layoff_today\"><\/span>How can I find layoff today?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>To find <strong>layoff today<\/strong>, check news websites or job boards that report real-time job cuts across industries.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Where_can_I_find_layoffs_last_24_hours\"><\/span>Where can I find layoffs last 24 hours?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>For <strong>layoffs last 24 hours<\/strong>, refer to news articles or social media updates tracking recent job cuts.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_are_start_up_layoffs_increasing_in_the_tech_sector\"><\/span>Why are start up layoffs increasing in the tech sector?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p><strong>Start up layoffs<\/strong> are increasing in the tech sector due to rising costs, reduced funding, and market uncertainty, forcing companies to cut jobs.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_were_the_number_of_tech_layoffs_2024\"><\/span>What were the number of tech layoffs 2024?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In 2024, more than 152,000 people lost their jobs across 550+ tech companies, based on data from Layoffs.fyi.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Are_there_layoffs_in_USA\"><\/span>Are there layoffs in USA?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Yes, there are ongoing <strong>layoffs in USA<\/strong> across various industries, impacting many workers this year.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Are you feeling uncertain about your job in the tech industry?&nbsp;With over 150,000&nbsp;tech layoffs&nbsp;last year&hellip;<\/p>\n","protected":false},"author":1,"featured_media":9339,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[17,31],"tags":[59],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Tech Layoffs 2026: Meaning, Reason and Labour Law | Hirist<\/title>\n<meta name=\"description\" content=\"Learn what tech layoffs mean in 2026, the reasons behind and key labour laws to know. 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