Three more major companies have announced layoffs. This time Twilio and LinkedIn, which operate in the IT sector, as well as Ford, which is engaged in mechanical engineering, have announced their intentions to reduce their staff, which will cut a total of more than 5,300 employees.

Downsizing at Twilio

U.S. telecommunications software company Twilio has announced that it intends to cut 1,500 employees, or 17% of its total workforce. As of September 2022, the company had about 9,000 employees.

According to Cnbc.com, in a letter to employees Monday, CEO Jeff Lawson indicated that the additional cuts are due to the need to restructure Twilio for success. "These changes hurt," he wrote, "The weeks ahead will be about processing all this change and working together to acclimate to our new structure."

Lawson also said Twilio has become "too big" and plans to form two business units to help the company spend less and become more efficient. One will be called Twilio Data & Applications, and the other will be called Twilio Communications.

In the letter, the CEO also said it was clear that Twilio needed to make "significant structural change" to better execute its strategy. “It is painful to part ways with so many talented people – but it’s necessary to get our two businesses into the right shape to succeed,” he said.

Downsizing at LinkedIn

Microsoft-owned LinkedIn began laying off employees in its human resources department months after the company said there were no layoffs and that hiring would only be suspended in some departments.

According to The Information, the company said the layoffs were part of 10,000 layoffs announced by Microsoft. Microsoft confirmed the layoffs but did not specify how many employees it was talking about.

Downsizing at Ford

U.S. engineering company Ford plans to cut 3,800 jobs in product development and management in Europe over the next three years. The company explained that the reason for the cuts is rising costs and the need to bring the company to a more compact structure, as Ford intends to focus more on the production of electric cars.              

According to Economictimes, the company will cut about 2,300 jobs in German plants, 1,300 in the UK and 200 in the rest of Europe. However, the company will still have 3,400 jobs in the European region.

Since the end of 2022, a number of companies in the IT sector will begin laying off staff en masse. Microsoft, Amazon, Pinterest, IBM, Lam Research, Xiaomi, HP, Vimeo, Micron Technology, PayPal, Miro, Splunk, eBay, NetApp, Unity Software and many others recently announced layoffs.