I don’t know how bad this is going to get for the overall economy.
But the mass layoffs are definitely going beyond tech and beyond retail.
Dow, IBM and SAP say they will lay off thousands of workers as belt-tightening becomes the new business priority.
Dow Inc.,International Business Machines Corp. and SAP, announced plans to cut thousands of jobs to prepare for a darkening economic outlook, as the current wave of corporate layoffs spreads beyond high-growth technology companies.
Together with layoffs announced by manufacturer 3M Co. these companies
Three related news snippets I came across while looking into the above
Jeff Bezos (the guy who announced mass layoffs the same day he announced he is giving away his fortune to environmental and racial justice causes) has apparently extended his layoff axe to include the Washington Post.
I am not sure if work-from-home employees are being hit harder than work-in-office employees, but apparently, they present a special wrinkle of some sort when it comes to layoffs.
To a degree you are right but many companies are now taking a very targetted approach to offshoring and outsourcing. My employer was burnt badly in the mid noughties in the rush to offshore. Now we own the companies where we have offshore operations. Though not every sector is the same.
Advancing technology is more of a concern for me, we now have bots reading claim edits and making the appropriate adjustments whereas before we had humans doing that same job. AI is ever advancing and we have a number of basic customer service functions completed by AI and the customer does not even realize it.
The “Phillips Curve” (high interest = high unemployment) was rejected only as a fixed unmoving curve.
The relationship moves around too much to be a “curve” in the traditional sense. I don’t think any sober economist doubts the relationship.