Major tech companies lay off thousands of employees

Facebook's parent company Meta lays off over 11,000 employees.
Facebook's parent company Meta lays off over 11,000 employees.
Published: Nov. 15, 2022 at 10:23 PM CST
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DEKALB, Ill. (WIFR) - While the beginning of the pandemic sent big tech companies like Amazon and Facebook’s parent company, Meta, skyrocketing, the industry is feeling the negative impact two years later.

Both Amazon and Meta currently sit at a hiring freeze. Amazon says it will lay off at least 10,000 employees, and Meta already laid off 11,000 last week. That’s 13% of it’s staff.

“Maybe those companies had grown too large, and are just scaling down a bit,” said Undergraduate Coordinator and Director of Northern Illinois University Center for Economics Tammy Batson. “They had mass hiring.”

“Facebook is building down here in DeKalb, this new, mega data center,” said Batson. Meta broke ground on a one billion dollar data center in DeKalb, earlier this year. Dekalb City Manager Bill Nicklas says he can’t speak on the impact the freeze could have on staffing the center, but he can confidently say the construction and Meta’s investment, has boosted the city’s economy.

“It currently has 1,200 construction workers working on a daily basis,” said Nicklas.

On the other hand, NIU Economics Expert Tammy Batson’s concerns lie elsewhere.

“The fact they’re laying off may put sentiment into other employers, that we’re headed for an economic downturn,” said Batson.

However Batson remains optimistic this could give other industries struggling with hiring, a leg up.

“Are these workers able to fill in the other industries were looking for,” said Batson.