Hiring Frenzy when stock price is bloated( due to COVID 19)
Many companies participated in hiring frenzy and gave inflated offers, now that RTO started and Covid is behind us many companies are firing employees to reduce operational costs. Everyone knew that Covid will end at some point and things(stock prices / demand) will return to normal. It’s laughable when leadership says they made bad decision hoping demand(due to Covid) will last forever so they hired duplicate roles. Call it hiring frenzy / mass resignation is now followed by mass firings now. Leadership other than founders are/ should be highly qualified individuals with MBAs from top universities and great experience. It’s their failure to not foresee this, end of the day everyone is at loss now. Companies are not loosing trust from market and employees, they also show that their core business is not solving any real problem. SNAP , meta, Netflix , Robinhood , coinbase , Uber , doordash, upstart, affirm , wayfair , better , Zillow and many more companies that gave out frenzy offers followed by layoffs will they ever join Bigtech(likes of Apple , Amazon , google , msft) , are they really solving problems that makes their business worth investing on ? ( just naming few companies in recent news) To ensure this doesn’t repeat There should be strict regulations(Govt/ SEC) to make sure leadership is equally impacted compensation wise. My thoughts are with those impacted by recent layoffs. TC : 🥜 #MassFiring #layoffs #stonks
It’s cyclical. There are good times followed by bad followed by good. When you’ve been through a few cycles, like a bear market or a housing crash, you get callused and don’t panic as much - for me it’s the opposite, I look for opportunities. Just keep 6 months of expenses in cash reserves at all times!
so you want govt. to regulate hiring practices of private businesses in terms of staffing levels....? telling them how many people they can hire or how many they can or cannot fire? ....not going to happen (in the US). im surprised that states even have laws around announcing layoffs.... but i highly doubt it will go further than that.
If you are a public company with peoples interests and investments, you obviously are subject to more regulations. I’m not saying hiring should be regulated but Imo employee should have right to understand why they are being let go? As months earlier we are hiring crazily and all of a sudden some pre-covid roles are considered duplicate. Eg: you cannot fire someone taking / took maternity/ paternity leave in Europe , which is totally ok in US.
requiring employers to tell employees the "reason they are being let go" would be a nonsense regulation. what difference does it make? employers could always just say "our strategy changed"...or make something up. and im not sure what state you are in, but you cannot easily fire someone for taking maternity leave (at least not because they are on maternity leave) in most states. but sure there are probably ways around it. ie maternity leave probably doesnt PROTECT you from a layoff here in US, as long as other people, not on maternity leave are also being laid off.
It is the loss making companies who overly hired. We are finding it hard to fill positions at the moment 😂
You say “everyone knew this would happen”. So I only assume you’re retired on your multiple millions now. I mean if you know what’s going to happen how did you not leverage up and profit of the inevitable outcome? Or maybe economies are actually a lot fucking harder to predict than you think?
Last Oct I have an offer from upstart when their stock is valued at 320, I choose not to join. It’s not millions but I’m really happy I dodged a bullet. Although upstart is good company to work for given market conditions I had to change my decision! “Everyone knew this would happen” meant to say Covid-19 will subside and things will get back to normal. And I agree “economies are lot complicated to understand” doesn’t mean you should voice your opinion that can make people think/act. If I am impacted by these decisions, I want to voice my opinion , at least on anonymous sites like blind @upstart don’t you think so ?
how come leadership favored option is winning this poll, pls explain
Upstart didn’t have layoffs
How did Covid drive up demand?
Lots of disposable income due to kids not going to day care, due to no day to day driving expenses, many folks even got rid of their second cars to even further reduce expenses on second car, no spending outside etc. Major bump in spending in 2020 and 2021 was online and towards home projects due to the availability of these extra funds in hand, as well as due to covid restrictions or additional protective measures.
People making more orders online (instead of shopping at physical stores), that made online shopping skyrocketed, did you not shop more online ? More zoom calls More Binge watch Netflix More social networking That apparently made these companies think they need “duplicate” roles.