Last year, over 280,000 tech workers were shown the door. You’d think that was the peak, but we’re less than halfway into 2025 and more than 90,000 have already been laid off.
If the trend continues at the same rate, this number will reach 235,871 by the end of the year. So yes, the bloodbath continues. It’s no longer a question of if your tech job is safe, it’s when you’ll need to pivot or at least upskill, as the lingo goes.
This is all according to a recent report by RationalFX, which paints a depressing picture for tech workers globally.
The 2025 layoff crisis so far
Let’s break it down a bit. Between January 1 and May 20, 2025, at least 90,471 tech workers have lost their jobs globally. That’s about 646 people being laid off every single day.
And it’s mostly happening in the U.S., 72% of those laid off worked for American companies. California alone accounts for over 38,000 job cuts, with Washington State not far behind at 13,385.
The biggest layer-off is Intel. The chipmaker has reportedly cut about 20% of its entire workforce. The company hasn’t confirmed the exact numbers but estimates suggest around 20,000 Intel employees could lose their jobs this year.
If the current pace continues, we’re looking at a projected 235,871 layoffs in 2025. That’s nearly a quarter of a million tech workers gone in just one year.
And it’s not just a U.S. problem. Other countries seeing major cuts include:
- Japan: 10,100 layoffs, mostly at Panasonic
- Sweden: 3,053 (Northvolt)
- Switzerland: 3,050 (STMicro)
- India: 2,688 (Ola Electric and Infosys)
- UK: 1,445 (Arrival, Wise)
This is brutal. And for a lot of tech workers, especially juniors, it’s getting harder to see where they fit in the new world.
Like we already stated, even the tech giants are in on the firing spree. Microsoft has already laid off 8,840 workers this year, yes, the same Microsoft that just posted a 13% jump in revenue.
But if they’re doing well financially, why are they firing people?
The AI elephant in the room
You probably saw this coming. Artificial Intelligence (AI) is eating jobs. We’ve been talking about this recently.
Remember when we said “AI is writing code and taking jobs”? It wasn’t hyperbole. Microsoft CEO Satya Nadella himself admitted that AI is now writing up to 30% of Microsoft’s code.
You can imagine what that means for junior developers, the very people who usually write basic code. If GitHub Copilot can handle that now, what’s left for the junior dev?
And we’re not just talking about coders. Design, customer service, data analysis — automation is starting to come for those roles too.
But it’s not just AI
Some of these layoffs are a result of pandemic-era overhiring. Tech companies expanded rapidly during lockdowns, when the world went digital. Now that we have returned to normal, they’re trimming the fat. But AI has definitely accelerated those cuts.
As RationalFX points out, the companies laying people off are also investing in AI like never before. So, while they’re eliminating thousands of human roles, they’re ramping up their AI budgets. Make of that what you will.
What does this mean for us in Zimbabwe?
You may think this is all a “first world problem,” but we’d be naive to think Zimbabwe is isolated. Our best software developers work remotely for companies in the U.S., Europe, and South Africa. If junior roles are drying up globally, Zimbabwean devs are going to feel it too.
Already, some local devs are telling us that contract renewals are no longer a given. Others say they’re being asked to do more, i.e. work with AI tools, deliver faster, upskill, or risk getting the axe.
And let’s not forget how Zimbabwean universities are still churning out Computer Science graduates being trained for jobs that may no longer exist by the time they graduate.
So, what now?
This is not all doom and gloom. AI might be taking jobs, yes, but it’s also creating new ones — roles like prompt engineer, AI/ML engineer, and AI ethics auditor are becoming more relevant.
You can read more about the roles that AI is creating here: AI is writing code and taking jobs.
AI is not coming, it’s already here, and it’s changing the tech industry. The layoffs show that there is a huge shift. If you’re in tech, the only way to stay relevant is to adapt. Quickly.
Article reference: RationalFX report on tech layoffs
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