SA国际传媒

Tech layoffs have accelerated as the year has progressed.

June was the most active month for tech layoffs so far this year, with at least 75 reports of U.S.-based tech companies initiating layoffs, according to a SA国际传媒 News analysis of aggregated layoff data. At least 143 U.S. tech companies have laid off more than 24,000 people so far this year, and it鈥檚 unclear when the cuts will slow down.

Tech and tech-adjacent companies have been going through layoffs all year, but it wasn鈥檛 until late spring that the cuts really picked up.

In January, for example, there were only reports of three companies laying off employees: insurtech company , beauty brand , and fitness company . February followed a similar pace, with just four reports of U.S. tech companies initiating layoffs. That included high-profile 鈥減andemic winners鈥� like virtual events platform and connected fitness company .

In a way, it was a signal that the companies that benefited from the COVID-19 pandemic lockdowns and grew ultra-fast to keep up with demand perhaps grew too fast and would have to adjust to the realities of the market in 2022.

It was in May that layoffs really picked up, with at least 35 U.S.-based tech companies slashing headcount. That number more than doubled in June to 74 companies, or more than half of the companies in SA国际传媒 News鈥� Tech Layoffs tracker.

Why June?

There are a couple reasons why June was such an active month for layoffs. First, it鈥檚 near the end of the quarter, and companies were likely making moves to get their finances in order and priorities straight before the start of Q3 and the second half of the year. It鈥檚 clear that layoff reports ramped up toward the second half of June.

Second, the public markets were particularly rocky in June, and the Federal Reserve鈥檚 largest interest rate hike since 1984 didn鈥檛 help. The past month or so, fears of a recession have become more real, and companies are taking preventative measures to control costs.

SMS marketing startup , for example, laid off 43 people just a week after announcing the raise of its $65 million Series C. CEO said in a Twitter thread that the round was closed in the first quarter of 2022, and since then, 鈥渢he economic landscape has radically shifted.鈥�

Other companies have also cited the macroeconomic environment and desire to control costs ahead of a possible recession as reasons for layoffs.

Some of the most notable layoffs in June were second round of cuts, two major video game players鈥� layoffs ( and ), and a slew of crypto companies including , and .

So far in July, 10 companies have announced layoffs, including , and . We have a feeling they won鈥檛 be the last.

Related reading

• Tech Layoffs In 2022: The U.S. Companies That Have Cut Jobs

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