The epidemic has become an obvious reason for layoffs.
IT is not difficult to see that whether it is the Internet IT industry or other industries, more industries are very depressed because of the impact of the epidemic. In order to survive in the epidemic, many internet companies can only choose to reduce economic pressure by laying off employees, otherwise they will not even get paid. Moreover, some companies even closed down because of the epidemic, and many employees were unemployed. Moreover, it was difficult to find new jobs during the epidemic, and many people were forced to lose their jobs at home. Moreover, during the epidemic, the business volume of many IT Internet companies declined, so they will start to lay off employees to a certain extent. After all, the number of employees in a company must match the workload, so that a company can operate normally. So on the surface, the epidemic is the apparent reason for the layoffs of Internet companies.
Fierce competition in the industry is the most common reason
Nowadays, the competition is very fierce, whether it is work, study or other fields. For internet companies, the success of competition depends on going up a storey still higher, failing in competition or going bankrupt or trying to remedy it. Now that the Internet market is becoming saturated, Internet companies will choose to reduce costs, streamline their companies, and achieve low cost, high efficiency and high return through layoffs. Or adjust the company system through layoffs, because failure in the competition will cause great losses, and it is difficult for the company to recover without layoffs.
The change of stock price is the internal reason.
Internet companies' share prices have fallen sharply and their economic benefits have decreased. Layoff is the best choice. Coupled with the global economic contraction caused by the epidemic, it is difficult for the Internet to maintain its original operating state. Layoffs are one of the measures. By laying off employees and recruiting new talents, we can break through the bottleneck of the company and seek new development opportunities. A sharp drop in the stock price will cause a great blow and loss to the company. Instead of constantly adjusting the system, it is better to lay off employees to save costs and slowly restore the original appearance of the company.
The stage change of the industry is the fundamental reason.
In the past few years, the Internet IT industry has developed rapidly and the economic benefits are very efficient. But no industry can maintain high-speed operation forever. Now Internet IT companies have entered a stable period. If they want to achieve long-term development, they need to continue to seize the golden period of development through layoffs. Four words, described as "survival of the fittest". If they want to catch big fish for a long time, they must be slow and steady, eager for success, and earn only temporary money.
Generally speaking, Internet financial resources are not a unique phenomenon today. In the long-term development of a company, there will be many layoffs, structural reform, natural selection, survival of the fittest, and internet layoffs are also one of the means of survival. The above is my personal opinion as a college student.