Tech layoffs 2024: September sees steep decline in layoffs, overall job cuts at 1.4 lakh

From a leading battery maker to a US-based edtech firm, September witnessed numerous companies laying off their employees. However, the overall monthly tally remained staggeringly low compared to August.

The job cuts in September were dominated by Northvolt, Microsoft, and Udemy. (Image: FreePik)

After the sudden spike in August where 44 companies laid off 27,065 employees, the highest since January 2024, September saw a steep decline in layoffs. In September as many as 30 companies sacked 3,765 employees. This is a radical decline from the previous month, which saw heavyweights like Intel sacking 15,000 and Cisco cutting 5,900 jobs. Based on the information from layoffs.fyi so far 511 companies have laid off 1,39,206 employees.

September was marked by job cut announcements by battery giant Northvolt, Microsoft, and online learning giant Udemy. Northvolt announced that it plans to cut 25 per cent of its workforce in Sweden as part of a major cost-cutting initiative, while Microsoft laid off as many as 650 staff from its videogame workforce, and Udemy said that it will reportedly reduce around 20 per cent of its staff.

Cost-cutting drive

On September 22, battery maker Northvolt announced that it plans to cut around 1,600 jobs in Sweden as part of its major drive to reduce costs. The company in an update published on its official website said that it was taking the initial steps as a part of a strategic review. According to the company, this strategic action requires it to reduce its global workforce by around 20 per cent and 25 per cent in Sweden. The company said that the measures would lead to the ‘redundancy of roughly 1,600 employees including 1,000 jobs at its factory in Skelleftea.

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The Stockholm-based company is seen as one of Europe’s most significant privately-held tech firms and is known for building lithium-ion batteries for electric vehicles. Northvolt has partnerships with numerous automotive companies such as Volvo and Volkswagen.

More job cuts at Microsoft

On September 12, tech behemoth, Microsoft, announced that it was laying off around 650 staff from its gaming business based on a memo shared by Xbox chief Phil Spencer. In the memo, the CEO said that the roles that would be most impacted by the job cuts would be corporate and support functions. He further clarified that no games, devices, or experiences were impacted by the decision and no studios are being closed.

With this, Microsoft has sacked 2,550 of its staff from its gaming business since acquiring Activision Blizzard for $69 billion in 2023. In the memo, Spencer made it clear that the job cuts were indeed related to the acquisition.

Udemy job cuts

US-based edtech firm, Udemy, announced that it was planning to reduce around 20 per cent of its workforce, which is around 280 employees. The layoffs announced by the company are owing to its restructuring plan which would likely cost it between $16 million and $19 million. The latest layoff is following a Strategic Business Update in July when Udemy announced that it had lost $50 million in the first six months of the year. In its SEC filing, the company said that it expects to rehire approximately half of the impacted roles primarily in lower-cost geographies.

Bijin Jose

Bijin Jose, an Assistant Editor at Indian Express Online in New Delhi, is a technology journalist with a portfolio spanning various prestigious publications. Starting as a citizen journalist with The Times of India in 2013, he transitioned through roles at India Today Digital and The Economic Times, before finding his niche at The Indian Express. With a BA in English from Maharaja Sayajirao University, Vadodara, and an MA in English Literature, Bijin's expertise extends from crime reporting to cultural features. With a keen interest in closely covering developments in artificial intelligence, Bijin provides nuanced perspectives on its implications for society and beyond. ... Read More