Tech companies laid off nearly 1 lakh employees in 2025
The mass layoffs continue to sweep through the technology industry around the world. Major tech companies have recently announced job cuts, including Intel, which revealed plans to cut around 20% of its workforce by the end of the year. Despite conflicting reports from company executives, the move is putting between 20,000 and 25,000 employees at risk of losing their jobs. Intel is not the only company to downsize. A recent study by RationalFX revealed that in around 90,471 employees in the tech sector have been laid off since the start of the year.
US-based companies have laid off 65,545 people, or roughly 72.5% of all announced layoffs by tech firms around the world. The most massive layoffs this year come from tech giants Intel (21,780), followed by Panasonic (10,000), and Microsoft (8,840).
Intel has recorded the highest number of layoffs to date. Following a reduction of more than 15,000 jobs in 2024, the US-based computer hardware manufacturer has recently announced plans to further decrease its workforce by 20%. As a result, it is estimated that over 20,000 employees will face job losses by the end of the year.
Panasonic ranks second for the most layoffs so far this year after it announced 10,000 layoffs as part of a major overhaul, aiming to improve profitability and operational efficiency. Microsoft has also let go of a significant portion of its staff, 8,840 employees in total.
The United States leads in the number of layoffs, totalling 65,545, followed by Japan with 10,100, Sweden with 3,053, Switzerland with 3,050, and India with 2,688.
Among all US states, California reported the most layoffs. Firms based there have eliminated 38,352 positions, followed by Washington (13,385), Texas (3,656), Massachusetts (2,520), and Arizona (2,450).
Contrary to the fact that job cut is an outcome of low financial performance. Many of the affected tech giants are also cutting jobs despite strong earnings. Microsoft reported $70.1 billion in Q1 revenue and $25.8 billion in net income but laid off 8,840 employees, including senior staff. Meta posted $16.64 billion in profit and cut 3,720 jobs. Chegg laid off 22% of its workforce after investing in a GPT-4-powered AI assistant.
The 90,471 laid off between January 1 and May 20, 2025, average 646 job losses per day globally. If the current pace continues, the tech industry is on track to cut an additional 145,500 jobs by year-end, bringing the projected total for 2025 to 235,871 layoffs in the global tech sector.