Tech companies worldwide are slashing jobs amid the Coronavirus spike. While ZTE India laid off nearly a third of its staff right in the middle of lockdown measures, some very stressed content moderators for a Facebook contractor in another part of the world. No corner of the Earth is safe from the effects of the Coronavirus pandemic, for in sunny, liberal California, GoPro Inc announced a 100$USD million retraction to the year’s current operating expense, coupled with a workforce reduction of a fifth of their current payroll. In this article, we cover how the global aspects of commerce are affected by the COVID-19 pandemic as it hits three different companies in different ways with the same result: Workforce reduction.
GoPro: 20% Workforce Reduction and million-dollar budget slash
Hit by COVID-19, the American manufacturer’s global distribution network forced the board of directors to reform their chain of distribution in response to the shifting consumer habits of the new reality under lockdown and rigorous containment measures which dramatically reduce human intervention in an ever-more mechanized distribution chain.
GoPro still sells lead retailers in strategic regions where consumers prefer indirect or offline purchases while focusing its distribution chain to consumer-direct sales to grow in regions where they enjoy a good share of the market.
ZTE India: 30% of Workforce Slashed
In New Delhi, Chinese telecommunication equipment manufacturer ZTE had to lay off 30% of its entire workforce in the response of the giant financial drain that the COVID-19 panic sent to the manufacturing industry worldwide as they had to tell their workers to remain at home.
ZTE India’s demise isn’t entirely COVID-19’s fault, while the virus could enjoy some of the culprits during the February-April period, the company’s portfolio of investments in the Indian sub-continent is scarce, despite deals with BSNL, Bharti Airtel and Vodafone Idea, a trio of companies with financial problems of their own.
Facebook Contractor Slashes Jobs: Workers Stressed
One of the most unusual job cuts due to the pandemic comes at the hands of Cognizant, a Facebook contractor who had the task of employing a group of content moderators. Cognizant’s workforce of content creators was suffering from post-traumatic stress disorder as they dealt with lockdowns and the sheer amount of content they had to censor.
As it turns out, COVID-19 made the directors at Cognizant to turn the wheel, so they decided to lay off nearly 7000 employees, and exit the content moderation business. While Cognizant’s work wasn’t considered by Facebook of bad quality, Mark Zuckerberg’s company faces a myriad of problems, as some of their apps, like WhatsApp, face the harsh realities of competition with other apps because of their utter lack of updates.
We wrap up our coverage of tech companies hit by coronavirus with a reminder that our website regularly updates with all kinds of information regarding technology and trends, so please keep coming back for more. Share this article in all your social networks by clicking our buttons.
