A Recession is Looming: Are Layoffs Your Only Option?

We’re in the midst of an economic downturn that’s only deepening, and predictably, a slew of layoffs is the first response we’re seeing from big tech. 

Financial experts have been warning about a looming recession for quite some time. Low interest rates, inflation, over two years of pandemic, war in Ukraine, and prior over-valuation of many tech companies has left the markets in a state of uncertainty. Former stars such as Peloton, Netflix, Zoom, and others have witnessed their stocks plummeting.

As a CEO myself, I understand the efforts that are put into hiring, training, and growing employees –– employees who were hired to achieve a common goal and are an essential part of the company and culture. But reality has changed and for some, this means it’s time to put the dream on hold and adjust to a new reality.

At the same time, letting go of good and talented staff hurts. CEOs will want to know they’ve exhausted all possible options before standing in front of their people and using the dreaded L-word. CEOs will want to first look at their non-human assets and cut down on areas where money is being wasted.

One area to examine, of course, is the cloud.