- Tech layoffs surge with over 50,000 job losses in 200+ companies since start of 2024, continuing a trend from 2023.
- Despite layoffs, AI engineers see salary growth, averaging over $190,000, signalling a resurgence in hiring driven by the AI industry.
- Many professionals leave tech industry for new positions; engineers compromise on stability, work conditions, or compensation.
On March 17, according to a report from US CNBC, data from Layoffs.fyi, a platform tracking tech industry layoffs, reveals that over 200 tech companies have laid off more than 50,000 people since the beginning of this year. This trend continues from 2023, where over 1,200 tech companies saw over 260,000 employees lose their jobs throughout the year. Despite layoffs, AI engineers saw salary growth, averaging over $190,000.
Also read: Sony SIE announced global layoffs of 8% of its total workforce
Also read: News: Google’s CEO faces employee questions about layoffs
The market is different now
Companies like Google Alphabet, Amazon, Meta, and Microsoft have announced layoffs this year, welcomed by Wall Street as they foresee increased profits due to spending discipline and efficiency gains from artificial intelligence. Layoffs.fyi founder Roger Lee stated in an email to CNBC, “The market is different now.”
Currently, many sales and recruiting professionals have left the tech industry entirely to secure new positions, while engineers have compromised, accepting positions with poor stability, work conditions, or compensation. Meanwhile, technical salaries have ‘basically stalled’ over the past two years.
There is a 12% increase in salaries for AI engineers
Discrepancies still exist in the tech market; despite ongoing layoffs elsewhere, data from Comprehensive.io shows a 12% increase in salaries for AI engineers from the third to fourth quarter last year, with the average salary for senior AI engineers in the US surpassing $190,000, signalling a resurgence in ‘rapid hiring and expansion’ driven by the AI industry.
