#economicdownturn

Major layoffs and tough times ahead?

Tough period ahead?

if you are not getting ready with your CVs to apply outside of Tech, your future family financials and careers are in risk.

we might be witnessing the first real cracks in the AI bubble. Intel in the sh----r. Google raising concerns about cash flow, other tech stocks taking a hit and investors finally starting to question whether the MASSIVE spending on AI will ever deliver the returns everyone keeps promising.

so here's the poll. are we heading toward another dot-com style crash?

• UPVOTE = YES, the AI bubble is about to burst.

• DOWNVOTE = NO, this is just a correction and AI will keep growing.

Vote using the arrows on this post.

it’s open season for lay offs next week, it happens every year in November and December to spoil employees holiday season and to get the numbers adjusted to end the 4th quarter and year end.
For the ones hoping to be let go, good luck with getting let go, if you need the job, also good luck, but don’t be surprised, both companies are in rough situations and the future is not optimistic.

This is why Microsoft asks 60,000 workers to leave.

http://techrights.org/n/2026/10/30/Despite_the_Mass_Layoffs_Microsoft_s_Debt_Soared_by_5_1_Billion.shtml

if it continues to slide, we will have major problems

Hmmmm, hope it recovers soon

BuildOps has laid off eleven employees in Raleigh. This reduction comes as the construction industry experiences a slowdown. The company had previously committed to creating a significant number of local jobs. These layoffs indicate a shift in the company's expansion plans. The exact reasons for the slowdown were not detailed.

Raleigh, North Carolina

https://www.bizjournals.com/triangle/news/2026/10/27/buildops-layoffs-raleigh-hub-construction-slowdown.html

That’s a big drop , I am it will hurt.

Google's parent company, Alphabet, has announced significant workforce reductions, impacting 12,000 employees globally. This move brings the total number of tech layoffs in January 2023 to over 30,000. CEO Sundar Pichai cited changing economic conditions and a need to align hiring with the current reality. The affected positions span various product areas, functions, and regions across the company. This decision follows similar large-scale layoffs at other major tech firms like Microsoft and Amazon.

Mountain View, California

https://www.techtarget.com/news/Tech-workforce-cuts-accelerate-with-Alphabet-layoff/850818/

I honestly believe that the AI bubble is guaranteed to burst in the next year or two, so our increased reliance on and investment in AI is incredibly scary to me. We'll be the ones to pay when the chickens come home to roost, not the people at the top who made all the decisions. That's always the case.

Goldman Sachs economists forecast that artificial intelligence could displace approximately one in eleven workers in the U.S. This displacement is expected to accelerate during economic slowdowns rather than immediate recessions. Historical data shows that automation-related job losses are cyclical, intensifying when the economy weakens. Companies tend to restructure and reduce labor costs during downturns, a pattern observed across decades of technological shifts. Therefore, significant AI-driven layoffs are anticipated to coincide with future recessions.

New York, NY

https://fortune.com/2026/10/22/goldman-sachs-forecast-how-many-jobs-lost-to-ai-9-percent/

Barclays plans to eliminate approximately 5,000 jobs by the end of 2026 to reduce operating costs. This significant workforce reduction is part of a broader strategy to streamline operations and leverage technology. The majority of these cuts will affect support functions, including software development roles. The announcement coincided with the bank's third-quarter financial results, which showed increased profit but missed market expectations. These measures reflect a growing trend among financial institutions to enhance efficiency amid economic uncertainty.

London, England

https://www.firstpost.com/tech/barclays-layoffs-bank-plans-to-cut-5000-jobs-by-year-end-to-reduce-costs-14054576.html

Flutter Entertainment is implementing significant job cuts, eliminating up to 1,400 positions within its UK and Ireland operations. This decision stems from a substantial increase in British gaming taxes, which have drastically altered the financial landscape of the regulated betting industry. The company stated that these reductions are necessary to restructure the business and adapt to the new economic realities. These layoffs represent nearly 16% of the workforce in the affected regions. Flutter anticipates that this restructuring will incur costs between $80 million and $90 million in the fourth quarter of 2026.

https://www.reuters.com/business/world-at-work/betting-giant-flutter-cut-up-1400-jobs-2026-10-20/

This may get posted on LinkedIn in soon as well.

Arguments for Restricting or Banning Stock Buybacks
Critics, including several progressive lawmakers and economic research groups like the Roosevelt Institute, contend that share repurchases harm long-term corporate health.

• it furthers the income disparity between senior managers of public companies and the wages of average workers;
• senior executives may use buybacks to manipulate triggers for overly generous executive compensation payments; and

• curtailing stock buybacks would cause public companies to spend more of their resources on better pay for workers or for investments in research and development.

• Prioritizing Executives Over Workers: Opponents argue that buybacks artificially inflate share prices and earnings per share (EPS) metrics. This dynamic often triggers performance-based bonuses for senior executives while diverting profits away from employee compensation, benefits, and workplace safety.

• Stifling Innovation: Critics assert that capital allocated toward purchasing existing shares represents residual cash that would be better utilized for capital investments, long-term corporate research and development (R&D), and sustainable economic growth.
• Market Manipulation Concerns:Historically, large-scale repurchases were heavily restricted as a form of stock manipulation until the Securities and Exchange Commission (SEC) established a regulatory "safe harbor" under Rule 10b-18 in 1982. Critics argue that the current rules contain loopholes allowing corporate insiders to sell their personal shares shortly after announcing a buyback program to maximize personal profit.

Legislative Proposals and Action in Congress
Rather than pursuing an outright ban, recent legislative efforts in Congress have focused on taxation and targeted restrictions:

• Increased Taxation: In June 2026, Senate Democrats introduced the Stock Buyback Accountability Act of 2026, a bill designed to quadruple the existing stock buyback excise tax from 1% to 4% while narrowing corporate loopholes.
• Industry-Specific Restrictions:Bipartisan proposals, such as the Prioritizing the Warfighter in Defense Contracting Act of 2026, seek to limit repurchases specifically for companies receiving taxpayer funds, such as federal defense contractors.

Disclaimer: All of the above information is public information that can be found on the internet by anyone with basic browser search capabilities.

Full Disclosure: I am actually a Republican and pro-Capitalist. However, unfortunately, what I am seeing from an economic standpoint and how today’s corporations are abusing capitalism, which when (capitalism) done correctly is a wonderful thing. But I am starting to see “pure unadulterated” Capitalism turn into crony capitalism or a corporatocracy, which then leads to inequality, market failure, damage to the environment, short-termism, excess materialism and bo-m and bust economic cycles. Therefore, please know that some of the below articles have certain congressional persons that I normally totally disagree with on almost every political viewpoint. But when it comes to Stock Buybacks, I am in agreement that those should be abolished with a congressional bill.

THERE'S A REASON WHY STOCK BUYBACKS USED TO BE ILLEGAL
https://casten.house.gov/media/in-the-news/theres-a-reason-why-stock-buybacks-used-to-be-illegal

Should Congress or the SEC ‘Do Something’ About Stock Buybacks?
https://www.americanbar.org/groups/business_law/resources/business-law-today/2021-april/should-congress-or-the-sec-do-something/

Problems of Capitalism
https://www.economicshelp.org/blog/77/economics/problems-of-capitalism/

The Michigan Economic Development Corporation is implementing layoffs affecting up to 15% of its staff due to decreased revenue. This reduction comes amidst legislative review of corporate incentives and an ongoing criminal investigation into a MEDC-administered grant. Despite these challenges, the agency asserts its continued commitment to supporting small businesses and economic growth. The state of Michigan was recently recognized for its business-friendly environment, ranking highly in several key categories. These positive rankings highlight Michigan's strengths in areas like infrastructure, talent, and innovation.

Lansing, MI

https://www.wilx.com/2026/10/19/former-lansing-mayor-leaves-lasting-economic-legacy-medc-announces-layoffs-other-business-headlines-across-lansing/

The United States is experiencing significant job losses attributed to artificial intelligence, with over 117,000 positions eliminated. This has resulted in an estimated $8.5 billion in lost wages across the nation. California has been the most affected state, reporting more than 27,000 AI-related layoffs. The impact is uneven, with tech-centric regions feeling the brunt of these changes. This trend underscores the transformative effect of AI on the current job market.

https://www.newsbytesapp.com/news/business/ai-layoffs-hit-us-117000-jobs-and-85b-lost/tldr

New unemployment claims saw a minor uptick last week, reaching 199,000. This figure remained below the 200,000 mark for the fifth consecutive week. The labor market continues to show stability due to low layoff rates. Employers are experiencing sluggish hiring amidst economic headwinds. Continuing claims for unemployment benefits also decreased.

Washington, D.C.

https://hr.economictimes.indiatimes.com/news/workplace-4-0/talent-management/us-weekly-jobless-claims-rise-marginally-amid-low-layoffs/134985404?utm_source=latest_news&utm_medium=homepage

A federal ban on most hemp-derived THC products is set to take effect soon, creating significant economic uncertainty for manufacturers and investors. Minnesota-based liq-or stores, however, plan to continue selling these items under state law. This impending change is already impacting the state's substantial hemp industry, with reduced orders and some businesses stepping back. Retailers may need to adjust payment methods if federal legality is not established. The future of THC products remains in flux as the deadline approaches.

Minneapolis, Minnesota

https://www.fox9.com/news/hemp-thc-deadline-hits-200-million-industry-leads-layoffs-liq-or-stores-may-maintain.amp

Michigan's unemployment rate stands at 5%, placing it third highest nationally, though this figure is historically low. An economist notes the market is unpredictable due to factors like aging demographics and a decrease in job seekers. Rising interest rates and potential federal policy shifts create headwinds for businesses. Pfizer is laying off 150 employees at its Portage plant due to reduced product demand. Kroger has also announced significant corporate-level job cuts.

Kalamazoo, Michigan

https://wwmt.com/news/local/michigan-unemployment-rate-pfizer-layoffs-economy-ai-covid-tariffs-upjohn-institute-money-community-kalamazoo-county-state

Stock below $5.00. Just in time for 3rd quarter results followed by 4th quarter holiday layoffs.

A significant investment in a new pharmaceutical manufacturing plant in New Albany is contrasted with substantial layoffs at a truck factory in Springfield. This disparity raises questions about the equitable distribution of economic growth across Ohio. Experts suggest that while major urban centers like Columbus are thriving, smaller cities struggle to attract the skilled workforce needed for modern industries. The state's economic success appears concentrated in specific areas, leaving other communities behind. This situation prompts a debate on whether Ohio's business-friendly policies are benefiting all its residents.

New Albany, Ohio

https://www.kentucky.com/news/nation-world/national/article317551444.html

It's been one of the worst job markets for employees for two if not three years, is it ever going to shift in our favor again? No wonder companies are getting away with insulting offers folks are actually accepting when there's no choice right now. How much longer can this last?

New Jersey employers issued WARN notices for over 2,100 workers in September and early October. These layoffs span various industries including pharmaceuticals, banking, and retail. The affected positions are spread across multiple cities within the state. Some of these workforce reductions are scheduled to continue into 2027. This wave of job cuts adds to existing concerns about the state's economic health.

https://www.shorenewsnetwork.com/more-bad-news-for-mikie-sherrill-as-new-jersey-employers-announce-more-than-2100-new-layoffs/

Why should the govt fund NVIDIA and DELL ORACLE FACEBOOK .
Vz develops critical infrastructure and funds using investors money. They have been funding their own business for the last 25 years.
Telecom companies get short changed by layoffs, wage plateau, strict confromation to financial guidelines and legal complainces .
Social media companies get a free ride all the way.
Evaluations for
Nvida-$5.7Trillion
Dell-$350billion
Oracle-$450billion
Msft- $3.9 trillion
Google-$4.2 trillion
VZ - $189billion

Prime Day starts today and normally I’d probably stock up on some work clothes, grab a few Christmas presents, etc. This year? Not happening.

With all the rumors flying around Comcast and just enough information leaking out to make everyone nervous, I’m basically avoiding any unnecessary spending until I know if I still have a job in a few weeks.

And I know Comcast is far from the only company where people are feeling this way.

It does make you wonder about the ripple effect. Layoffs or fear of layoffs → people stop spending → companies make less money → more cuts.

What a great economy.

Recent layoffs in the greater Dayton, Ohio, area have significantly impacted the local job market. These job cuts were substantial enough to negate an entire year's worth of employment gains. Broad tariffs were cited as a contributing factor, failing to boost demand. This economic pressure led International Motors to divest the plant in question. The situation highlights a challenging economic climate for the region.

Dayton, Ohio

https://tradersunion.com/news/market-voices/show/3644271-dayton-layoffs-job-growth/

Which investor wants to make 2% when US Treasury pays 5% so obviously creditors would want their money back or waant higher interest. If they ask the business for money back then the business has to sell business assets. When variable interest rate goes up by 1%, businesses that make 2% can’t even pay 2% as profit because interest takes additional 1%.

To give the creditors 1 additional percent , the business has to cut costs. Cutting costs means difficult decisions like closing under performing stores, cancelling projects and even layoffs in already slim workforce.

A monumentally disappointing 3Q is coming, and the stock is about to drop another 40%. After that, the company goes belly up, lots of us lose our jobs, lots. We lose jobs, we jump ships. That’s the end of this generational disaster called Fiserv.

Seattle's downtown core experienced significant job losses between 2024 and 2025, with a substantial portion of these declines concentrated in the tech sector. This trend contrasts with the job growth observed in the neighboring tech hub of Bellevue during the same period. Amazon's employment shifts are noted as a contributing factor to this regional economic redistribution. A new report highlights that Seattle's overall job growth has lagged behind other major U.S. metropolitan areas. The city's economic challenges are being discussed in the context of its fiscal climate and a specific payroll tax.

Seattle, WA

https://www.geekwire.com/2026/report-downtown-seattle-lost-13000-jobs-in-a-year-while-bellevues-tech-hub-boomed/

Despite overall job growth, white-collar industries like finance and professional services are experiencing significant job cuts. These layoffs are occurring as economic data presents a mixed picture, with some sectors expanding while others contract. Factors such as higher interest rates and the adoption of AI are contributing to these reductions. The labor market appears healthy on the surface, but many displaced workers are finding it challenging to secure similar roles. This trend suggests a shifting job landscape for many professionals.

San Francisco, California

https://www.newsweek.com/list-of-companies-laying-off-employees-in-october-12512936

A K-shaped corporate economy is a situation where people experience different economic outcomes. Picture the letter K. The CEO and executives at the top move upward growing wealth, stock gains, and increasing income. At the same time, employees affected by layoffs and reductions move downward — struggling with living costs, debt, unemployment, and dwindling savings while paying bills with no income.

What's coming next is not a recession, it's a depression. Dominos are already falling, I don't think it can be stopped now. When bubble bursts, we're going to free fall for a while. Here are the things/people who fu---d you on this: AI, the war, Wall Street, Tech bros.

Schulman and his lackeys are included in this. Every company that decided the race for AI mattered more than people’s livelihoods bears responsibility for the consequences. So much for “delighting the customer.” The real question is: when livelihoods are sacrificed in the name of AI, how many customers will still be able to afford what these companies are selling?

Five Arizona businesses initiated significant workforce reductions last month. Two of these companies will also cease operations at certain locations. These announcements were primarily communicated through official WARN notices. Such notices are mandated by federal law to provide advance warning of mass layoffs. This trend indicates a challenging economic period for the state's employers.

Phoenix, Arizona

https://www.azcentral.com/story/money/jobs-economy/2026/10/01/415-arizona-jobs-were-cut-in-september-layoffs/92027379007/

Pittsburgh's proposed 2027 budget avoids tax hikes and layoffs but relies heavily on savings. The plan cuts vacant positions and reduces pension fund contributions. However, it withdraws significant funds from the city's savings account, risking depletion within five years. Changes to anti-violence and affordable housing initiatives are also included. The mayor acknowledges a bleak financial future without increased revenue.

Pittsburgh, Pennsylvania

https://www.wesanews.org/politics-government/2026-09-30/2027-pittsburgh-budget-draft-includes-no-tax-increase-or-layoffs-but-predicts-hard-times-ahead

Despite recent plant closures, Shullsburg is experiencing a resurgence of community spirit and economic optimism. The annual Cheesefest is proceeding as planned, drawing visitors and showcasing local offerings. Beecher's Handmade Cheese has stepped in to purchase one of the shuttered facilities, promising to bring back a significant number of jobs. Additionally, a major park and museum renovation project is on track, further bolstering the town's future prospects. These developments signal a positive turn for the community following challenging economic news.

Shullsburg, Wisconsin

https://www.telegraphherald.com/news/tri-state/article_be51e705-b097-499d-bd0b-c1d2d0ce3dcb.amp.html