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2023 wave of layoffs have a purpose: to reset inflated salaries

9 points by goofed ↗ HN
The Great Resignation between 2020 and 2022 was a turning point for many workers. The tight job market and low unemployment rate gave people the power to demand higher salaries and better benefits. Employers were scrambling to hire and retain top talent, leading to an inflation in salaries across the board.

But now, as the job market has shifted and unemployment has risen, the tables have turned. Big companies are using layoffs as a way to send a message to the job market: they are in control. By shedding excess staff and creating a surplus of available workers, these companies are able to reduce salaries and negotiate better deals with new hires.

It's no secret that salaries have grown out of control in recent years, making it difficult for companies to stay competitive. By resetting salaries to more reasonable levels, companies can remain profitable and continue to grow.

It's clear that the layoffs we're seeing in 2023 are not just random events, but part of an orchestrated strategy to reset inflated salaries and regain control of the job market. While it may be painful for those who have lost their jobs, it's important to remember that this is the natural ebb and flow of the job market and that better opportunities will arise in the future.

4 comments

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rossdavidh
While I don't doubt that employers would be happy to see salaries drop, I don't think they are as "orchestrated" as you suggest. This looks, so far, like a completely ordinary wave of 5-10% cuts which companies like to do every few years, as a legally safer way to get rid of people they regret hiring. You don't have to have legally justifiable "cause", or at least it's way easier, if it's all part of a general layoff. Plus, by paying some amount of severance, you get the person to sign a document saying they won't sue.

Not saying they're not capable of the kind of behavior you're suggesting, just that it's not really all that unusual (thus far), it happens every few years, and so it isn't necessarily "orchestrated", just normal reaction to a perceived economic slowdown (especially if you over-hired in the couple years previous).

fithisux
But the layoffs do not target "inflated salaries" only. It is an orchestrated terror attack under the auspices of governments.
jstx1
This is creative writing bordering on a conspiracy theory. You're stringing up a bunch of claims without evidence, presenting them as fact, and hoping that your tone is authoritative enough for people to not think about it critically.
Ekaros
I think they are part of the standard stock market price manipulation that executives rely on during downturns. Cutting workers is a way to appear to be saving money and thus push stock prices higher. And why not do it when everyone else is doing it for that short term profit.