In a significant development, major tech players such as Facebook, Apple, Amazon, Microsoft, Netflix, and Google (FAAMNG) have drastically curtailed hiring in India, with a staggering decrease of up to 90 percent compared to the previous year.
The slowdown in the global economy is cited as the primary reason for this hiring slump.
Key Points:
Global Economic Slowdown Impact:
Facebook, Apple, Amazon, Microsoft, Netflix, and Google collectively known as FAAMNG, have witnessed a substantial reduction in hiring activity in India, recording a staggering 90% decline in hiring compared to the previous year (2022).
Active Hiring Decrease:
According to a report by ET, active hiring in these companies is down to just 200, reflecting a 98% decrease in active hiring compared to the previous period. This decline in recruitment is occurring as tech companies grapple with the global economic recession.
Downturn Since December 2022:
The decline in hiring began in December of the previous year, with active demand in tech companies dropping by 78 percent compared to July. This prolonged hiring slowdown has persisted for approximately 18 months, reflecting the challenging economic environment for major tech corporations.
Current Job Openings:
Presently, there are only around 30,000 job openings in these major tech companies worldwide.
This limited number of job opportunities comes amidst a backdrop of significant layoffs that began towards the end of the previous year.
Companies like Microsoft, Amazon, and Google initiated large-scale layoffs during this period.
Paytm’s Layoffs:
The hiring slowdown is not limited to global giants, as domestic companies are also affected.
Paytm, a leading Indian fintech company, recently announced significant layoffs as part of its business reorganization efforts.
This move is aimed at reducing costs, with layoffs impacting around 10 percent of Paytm’s total workforce.
Current Workforce:
Presently, approximately 150,000 individuals from India are employed in the core operations of Facebook, Apple, Amazon, Microsoft, Netflix, and Google combined.
As the global tech industry navigates economic challenges, the impact is palpable not only in the slowdown of hiring but also in significant restructuring measures undertaken by companies like Paytm to adapt to the evolving business landscape.
