Tech Sector's 2024 Layoffs Exceed 100,000; Women Bear Brunt

The technology industry has witnessed over 100,000 layoffs in 2024, impacting 360 companies globally, with women and the video game industry bearing the brunt of the cuts.

"The recent layoffs underscore the shift towards artificial intelligence and machine learning within tech firms, revealing the overexpansion of the workforce during the pandemic, now deemed redundant," said Edith Reads, Content Strategist-Finance and Technology, Finixio, for Expansión.

Noteworthy cases include Dyson's announcement of 1,000 job cuts, equivalent to a third of its workforce. Tesla reduced its workforce by approximately 14,500 employees, representing 10% of its staff. SAP downsized by more than 8,000 positions, about 7% of its workforce. Additionally, both Google and Microsoft executed multiple rounds of layoffs throughout the year.

The impact has been particularly harsh in the video game industry, with significant layoffs at Electronic Arts, Activision and Riot Games, adding to the more than 10,000 cuts recorded in 2024 within the sector, according to Game Over Pnx.

Women have been disproportionately affected, comprising around 45% of the total layoffs in the tech industry, as reported by Expansión.

According toDeloitte’s Women at Work study, women hold less than one-third of positions in the industry and fewer than 33% of technical and leadership roles. This gender disparity is exacerbated by seniority-based firing practices, which tend to disadvantage recent hires who have often faced barriers to entry due to bias and discrimination.

Francisco Vázquez, Business Development Manager, Laboratoria in Mexico, emphasized the importance of upholding commitments to diversity and inclusion in the tech sector. He argued that the lack of diversity not only harms women and marginalized groups but also affects the quality and equity of products and services. 

"Research shows that a lack of diversity can perpetuate inequalities through biased products and services. Therefore, companies must embed diversity and inclusion in their evaluation and dismissal strategies, aiming to maintain or even increase the representation of women on their teams," Vázquez concluded.