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The U.S. economy is booming. So why are tech companies laying off workers?


Google, Amazon, Microsoft and a raft of others fired thousands of workers in January, continuing a layoff wave that began in 2022.

Chavez is one of hundreds of thousands of tech workers who’ve been laid off in the past two years in what now seems like a never-ending wave of cuts that has upended the culture of Silicon Valley and the expectations of those who work at some of America’s richest and most powerful companies. Last year, tech companies laid off more than 260,000 workers according to layoff tracker Layoffs.fyi, cuts that executives mostly blamed on “over-hiring” during the pandemic and high interest rates making it harder to invest in new business ventures. Unable to get back to the showstopping revenue growth of years past, tech executives are opting instead to put a positive spin on things for Wall Street by continuously cutting high-paid workers instead.

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