Miguel de Icaza ᯅ🍉Jan 21, 2023

I read than Stanford interview where the author claims the layoffs are a social contagion - I think the guy makes a few mistakes.

I think the pressure is real, the layoffs represent about 200 million of savings per company. These companies are looking at their sales pipelines dry up and then projections for the next 2 months are not good.

The main mistake the guy makes is assuming that the company’s reserves are at their disposal. Only a small portion is, the rest belongs to shareholders.

Show threadJamie Walters, CAIA

@Migueldeicaza An observation is the FTC proposed banning non-competes, and the tech industry responded with lay-offs.

But correlation <> causation.

Non-competes exist because rent-seeking employers feel they can't keep employees in a fair market and want punitive measures to hold over them.

Remove that power from the employer and the employer discards the suboridnate?

Jan 21, 2023 at 11:59pmWeb
Show threadMiguel de Icaza ᯅ🍉Jan 22, 2023
@JWalters I don’t think those are linked, it is a bridge too far. In fact it is the opposite effect