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Tech companies rocked by layoffs as industry faces biggest downturn in two decades

Tech companies rocked by layoffs as industry faces biggest downturn in two decades

CBSN
Tuesday, June 14, 2022 12:46:43 PM UTC

Large and small technology companies that expanded during the pandemic are now pulling back, retracting job offers and laying off workers as the U.S. economy slows.

The slump is affecting a wide range of companies. Cryptocurrency company BlockFi, which had grown nearly sixfold in 2021, on Monday announced it was laying off about 250 people. Privacy and marketing company OneTrust last week let go 950 employees, Stitch Fix cut 330 and identity-verification company ID.me dismissed 130. Transportation company Bird slashed a similar number, while PolicyGenius gave pink slips to 170. And that's just in the past two weeks.

"Those companies are suffering right now," said CBS News technology reporter Dan Patterson. After staffing up during the pandemic, many tech players are consolidating as they contemplate the labor market, he said. 

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