"Rising Tech Layoffs Amid Record Profits and AI Boom"

Despite returning to pre-pandemic levels and being profitable, big tech companies like Meta, Amazon, Microsoft, Google, TikTok, and Salesforce have collectively laid off about 25,000 employees in the first four weeks of 2024. Experts attribute this trend to a "herding effect" where layoffs seem to boost stock prices, making it the new normal in the industry. Wall Street's positive response to cost discipline has encouraged more layoffs, leading to a phenomenon of "copycat layoffs" in the tech industry. This trend is driven by a fear of missing out and a desire to weather a potential storm, despite the sector's current profitability.