The US Economy is scheduled to see tens of thousands of layoffs in the tech and financial sectors. Analysts are already blaming AI, saying that companies think the new technology can replace workers.
Google and Amazon are cutting hundreds of positions across engineering and content areas. While these layoffs are relatively few, each position cut also means many other companies will see their revenue going down. CNBC says:
Google has cut several hundred jobs in its central engineering, hardware and assistant teams. Amazon is shedding hundreds of positions across its Prime Video, MGM Studios, Twitch livestreaming and Audible divisions.
Recent U.S. Department of Labor data shows layoffs have been hovering near historic lows — and experts say getting laid off no longer has the same stigma it once did.
Citi’s annual earnings for 2023 were also lower, which is pushing it to reorganize and layoff many workers. Marketwatch continues:
In the company’s fourth-quarter earnings release Friday, Chief Executive Jane Fraser said that while the quarter “was very disappointing due to the impact of notable items,” the bank made “substantial progress” in executing its reorganization plan.
Citi’s stock moved up by 1% to close Friday at $52.62. The stock’s price has fallen 3.2% in the past week but has risen 9.5% in the past month.
These announcements will not help with trust in the market. With fed rates still high, companies will seek to trim their workforce which could lead to tough times for many Americans.
READ NEXT: Microsoft Passes Apple in Stock Performance
