Silicon Valley has reportedly laid off nearly 25,000 tech employees in the first weeks of 2024 alone, according to industry tracker Layoffs.fyi.

With the recent job cuts in iRobot, the number of confirmed layoffs has reached 24,934 across 94 tech companies.

The total does not even include all layoff announcements that did not specify the scale of affected employees, including those from Amazon and Google.

The two Tech Giants previously led the highest number of layoffs last year, contributing at least 30,000 to the total job cuts in January 2023.

Software company SAP currently holds the position with the most confirmed dismissals with 8,000 employees affected, or 7% of its total workforce.

Also Read: Game Studio Layoffs: Why are Videogame Companies Downsizing?

Why are There Still Job Cuts in the Tech Industry?

While the numbers have been relatively lower than the record-high 89,554 layoffs in January last year, the continuing trend of job cuts in the industry spells a bleak future for many workers.

Many companies have already gone back to pre-pandemic operations but have still continued with job cuts for various cost-cutting reasons.

According to an online business survey, companies are still expecting more layoffs this year as their stocks continue to rise.

At least 38% of the 906 businesses asked confirmed that they are planning to downsize their workforce, while 52% have considered halting hiring processes this year.

Coincidentally, no CEO or company executive from the major industry leaders has been reported to take a pay cut to slow down the impact of the layoffs on their employees.

Tech Industry Becomes More Familiar with AI Tools

Another concerning factor that can be pointed out from the layoffs is the increase in AI-integrated positions across the industry.

Several studies have already confirmed that the IT industry's job growth slowed down last year as corporations have become more reliant on AI tools.

The International Monetary Fund has earlier predicted that 40% of the total jobs in the world are "exposed" to AI computer vision.

The numbers rise up to 60% for first-world countries where AI development and distribution is more rapid.

World leaders, including the United Nations, have started urging governments and industry leaders for a more concrete guide on AI development that will not result in human rights abuse.

Related Article: AI Revolution to Worsen Job Inequality, IMF Says