Ask HN: Have there been many layoffs in the tech industry due to coronavirus?

18 points by sq1020 6 years ago | 11 comments

We've been hearing about all the layoffs in the hospitality, restaurant, and other industries but I'm wondering if the effects of the coronavirus shutdown are now starting to affect the tech industry.

If you're currently still employed, do you fear that your job might be at risk in the coming months?

_bxg1 6 years ago |

There are companies that are directly impacted by changes (AirBnB, Uber) which are taking a hit.

There are other companies that directly benefit from the changes (Zoom, Netflix).

And then there are a bunch of tech startups that comprise risky investments and are very dependent on investor cash. Investors are very quickly going from open-handed to penny-pinching in the wake of the stock market crunch. These companies may be hit the hardest.

Outside of the above, I think in software it's mostly business as usual. Of course there will be those which are indirectly impacted as the whole economy recesses, but of all the places to be right now software is probably one of the best, between its tolerance for remote work and its continued usefulness while more physical industries are thrown a curveball.

pcthrowaway 6 years ago | |

Right now a lot of companies still operating are b2b businesses also, with lots of the client businesses taking hits. That hasn't necessarily trickled upstream yet, but I suspect it will.

quaquaqua1 6 years ago |

Indirect layoffs are coming. For example, if you are working for a technology company that is servicing Halliburton, who just laid off 5,000 workers, then there's a chance that Halliburton might decide to cancel that fancy new React project they contracted out to you.

Now, if your company's main client is Halliburton, then layoffs are coming for you next, maybe.

Another question is like, how POS providers like Toast, Clover, Upserve etc stay in business when their main client base are closed right now potentially even forever?

Space_2020 6 years ago | |

I've heard that Toast has let go 100 something new hires that were about to start there before their first day.

quaquaqua1 6 years ago | | |

Sorry to hear it!!

I have a friend at a very small POS shop that just announced they are closing the whole company even.

someonehere 6 years ago |

The workers impacted by this most across all companies (whether benefitting or dying from this) are the workplace staff. The people that keep the office running. Most of these people are hourly and only real purpose to keep the office lights on. When the office is closed, they don’t have any purpose any more.

I have friends at various mid sized startups looking to lay off workplace staff because of office closures.

If you hired people to stock canteens, prep lunch, ensure the office is functioning, and now they’re working from home, there’s no reason to keep them around anymore.

The good thing is once offices open up again they’ll need to hire them back. But who knows when that is.

mcjord 6 years ago |

My consulting agency has already taken a significant blow in terms of client work and relationships. Any tech company providing external services for enterprise companies will likely be heavily impacted from my perspective. Companies are doing whatever they can to save money, and typically this means cutting ties with external services and partnerships before touching internal employees. This is heavily dependent on the industry, however, but something to be aware of if you are providing consulting services.

downvoteme1 6 years ago |

Check blind.com There are literally hundreds of threads in the last week where multiple people have been let go due to coronavirus.

jdxcode 6 years ago | |

https://teamblind.com

austincheney 6 years ago |

No. My primary job is a major bank. My part time job is military. Both are considered essential. If my primary were to eliminate jobs my part time job would voluntarily become full time.

byoung2 6 years ago |

There are some industries that seem to be booming, so I bet they might need to hire (e.g. Instacart, Doordash, Netflix, Zoom), while others are probably hurting (e.g. Yelp, Uber).