Many workers in the IT business had layoffs in 2023, making it a terrible year. It was thought that the trend will halt next year, but large businesses such as Amazon and Google continue to shed thousands of positions in the guise of overhiring, restructuring, and cost-cutting to enhance business. Amazon is said to have laid off around 27,000 employees as of today, while Google has laid off over 15,000 workers. This trend continues as Cisco and Mozilla enter the battle, announcing layoffs to simplify operations and prioritize growth.
The volatile nature of the IT sector implies that this tendency will continue, with job security continuing a concern. Cisco’s reorganization plan tries to realign objectives, resulting in 4,250 job cutbacks, while Mozilla’s strategic move causes 60 layoffs. Uncertainties grow as IT behemoths face economic hurdles in 2024.
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Cisco, a renowned manufacturer of networking gear and software, has announced a major reorganization plan aimed at realigning the business and spending more in critical priority areas. However, this strategic shift comes with a cost, as the business plans to lay off around 4,250 people worldwide, according to a report. This restructure represents around 5% of Cisco’s global workforce. The decision raises worries about job security in the technology industry, mirroring similar steps made by other large IT businesses.
Cisco CEO Chuck Robbins also discussed the company’s commitment to innovation in an increasingly connected environment, namely the use of artificial intelligence (AI) and improved organizational security. Meanwhile, Cisco’s CFO, Scott Herren, noted success in shifting to a more recurring revenue model while maintaining financial discipline and providing shareholder returns.
Mozilla, the company behind the famous web browser Firefox, has recently announced a strategy shift, resulting in the layoff of around 60 people. This restructure impacts around 5% of Mozilla’s staff, with the majority of those affected being product development team members.
The move entails moving resources away from standalone privacy solutions such as VPN and Relay services, as well as the discontinuation of the Online Footprint Scrubber. Furthermore, Mozilla intends to discontinue Hubs, its 3D virtual world product, and minimize its presence on Mastodon, notably mozilla.social. Mozilla intends to prioritize Firefox and AI integration as areas with strong growth potential, with Firefox serving as the company’s principal income source.
