What is driving the decline in Tech Jobs?
FYI: 2017 Tax Cuts and Jobs Act took effect Jan 1/22 and Section 174 changed the rules on depreciating software development meaning companies could no longer depreciate 100% in year 1 and now must amortize over 5 years Link thanks to @M’urica: https://newsletter.pragmaticengineer.com/p/the-pulse-75
The Pragmatic Engineer
As intended. Zuck, gates, etc was telling everyone 10 years ago to study CS as it’s easy and there’s going to be hundreds of thousands of vacancies to high paying jobs because there’s just not enough people. It’s apparent they did that campaign just to flood the market with supply so they can pay less.
it's like people only do things because they get paid. and that's just really sad
That's part of why companies like meta are choosing to invest in infra instead of people.
Job market was overheated for a couple of years, now it's overcorrectinng
It’s obviously interest rates. Companies can’t just take risks and just hire and keep people employed for free anymore.
Only really true for negative cash flow companies. Interest rates don't matter if you don't need to borrow.
it is if ur margins were space AIDs from the beginning chamath talks about this often, very few businesses hold a genuine bonafide moat, most will be eviscerated if they dont layoff and were just larping as having scalable tech margins