How do the current tech layoffs in 2025 compare to the massive layoffs seen in 2022-2023, and what's driving these job cuts?

The current tech layoffs are significantly smaller compared to the massive waves seen in 2022-2023. In January 2025, approximately 2,500 tech employees were laid off, compared to 35,000 in January 2024, showing a dramatic decrease. Major companies like Meta cut 5% of staff and Workday reduced 8.5%, but these numbers pale compared to previous years' massive cuts. These layoffs are primarily driven by normal annual budget reassessments and priority adjustments that typically occur at the start of each year. Industry experts view this as a routine correction rather than a crisis, with companies evaluating their spending as they enter new fiscal periods. The outlook remains optimistic, with experts expecting layoff numbers to level off as 2025 progresses, suggesting a stabilizing job market in the tech sector.