It seems the great tech layoff is far from over. The month of March saw at least 21 companies laying off 8,834 employees, as per layoffs.fyi, a portal that tracks tech layoffs in real time. March saw a dip in layoffs when compared to February, where 46 companies axed as many as 15,994 jobs, which was the highest number of layoffs so far in 2025.
Regardless of the decline in layoffs, the trend is indicative of how the tech sector is going through an overhaul globally. Among the names that laid off employees in March are Hewlett Packard Enterprise, Northvolt, Block, Ola Electric, and Niantic. The job cuts spanned across industries, locations and job roles.
Ola’s job cuts
In the beginning of the month it was reported that Bengaluru-based electric vehicle major Ola is planning to lay off over 1,000 employees and contract workers. The company was carrying out the layoffs in a bid to contain its mounting losses. Reportedly, the job cuts are set to impact multiple departments such as procurement, customer relations, fulfilment, and charging infrastructure. This is reportedly the company’s second round of layoffs in less than five months. In November 2024, the company gave the pink slip to around 500 employees.
HP and Northvolt’s massive layoffs
March saw Hewlett Packard Enterprise announce its plans to lay off 2,500 employees, about 5 per cent of its workforce. The tech giant announced that it was implementing the layoffs to offset declining margins in the server business. On March 6, the company’s share slid by 19 per cent in extended trading. The company said that the cost-cutting programme involving layoffs will be implemented over the next 18 months, and it will lead to $350 million in gross savings by the 2027 fiscal year. As of October 2024, the company employed nearly 61,000 people based on its recent annual report.
Meanwhile, Swedish battery maker Northvolt reportedly laid off more than half of its workforce after it filed for bankruptcy. Reportedly, the company laid off 2,800 people from its strength of 4,500 employees in Sweden. The company will reportedly retain as many as 1,200 employees for now.
On the other hand, former Twitter CEO Jack Dorsey’s fintech firm Block reportedly laid off 931 employees. The company cited performance-based restructuring as the prime reason. TikTok also reduced 300 roles from its Dublin office as part of the broader restructuring efforts of its parent company ByteDance.
What fuelled the layoffs in March?
At present, the global economic landscape seems shaky. Inflation and rising interest rates, coupled with prevailing geopolitical tensions, are squeezing companies. With businesses and consumers turning conservative with their spending, tech firms are feeling the heat. Enterprise software and hardware providers such as HPE are in a precarious position owing to a reduction in capital expenditure by clients.
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Another recurring factor is the increasing push by companies towards AI and automation. Although companies deny that there are no direct human replacements, the industry unanimously believes that AI is leading to leaner operations. Even though companies like Block attribute layoffs as performance-related, the larger trend reveals a shift towards adoption of tech-enabled efficiency. On the other hand, both public and private firms are under tremendous investor pressure to work towards profitability.
Even though layoffs slowed down in March when compared to February, the broader trend of companies restructuring or reorienting themselves around AI and automation continues. For professionals, this is a new era where specialisation and cross-functional skills matter more than ever. Upskilling and a willingness to adapt are the need of the hour.
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