In the latest developments in the tech sector, Microsoft and Facebook’s parent company Meta are vacating office buildings in Washington’s Bellevue and Seattle, as per reports emerging from the Seattle Times. The report says that Facebook said on Friday that it plans to rent out its offices at Block 6 and Arbor Block 333 in Bellevue and downtown Seattle, respectively. This development comes in the background of mass layoffs, and a soft market – an economic phase characterised by the presence of more sellers in the market as compared to buyers, which leads to lower prices.
As the number of remote workers increased during the pandemic and the growing economic headwinds, it’s predicted that the Seattle-area office market will continue to struggle despite announcements of massive remodelling of several buildings.
Microsoft, located in Redmond, Washington, will not renew its lease at City Center Plaza in Bellevue, which expires in 2024, according to additional reports. The Economic Times reported that Meta laid-off 726 workers in Seattle last November, with a company representative announcing that the California-based tech company is trying to be “financially prudent.” Similarly, last October, Microsoft sacked approximately 1000 employees to cut costs. Amazon has recently announced mass lay-offs which would make 18,000 employees redundant, a move that has sent shockwaves across the Amazon workforce with many retained employees reportedly being demotivated by the move.
In India, Reliance-backed Dunzo, an instant delivery internet firm, laid off around 3 percent of its workforce last week and announced additional cost cuts. Cloud kitchen brands like Oven Story and Behrouz Biryani have also trimmed headcount, and ShareChat has announced that approximately 200 employees are expected to be sacked. Additionally, several agritech startups like Captain Fresh, DeHaat, Gramophone, and BharatAgri have declared that they’re downsizing their teams due to financial problems.