4 ms·

A 70% cut is a great way to kill your company once the remaining 30% start jumping ship. Either because of the destroyed morale or because they're doing a lot m

A 70% cut is a great way to kill your company once the remaining 30% start jumping ship. Either because of the destroyed morale or because they're doing a lot more work in a higher stress environment.

rufus_foreman 4y ago
Have you not been through one of these cycles before? When things get bad, there is nowhere to jump ship to, for quite some time. Hopefully we're not heading there, but as the message says, "things don't look good".
- fzeroracer 4y ago
  I've been through multiple of these cycles, thank you. I don't need someone to try and explain what I've experienced. There's almost always better opportunities for an experienced dev because there are plenty of industries better suited to weathering out a recession.
foobarian 4y ago
I mean, losing money is a great way to kill your company. What's better: cut 10%, lose money, people leave, cut 10% more, still losing money, more people leaving, cut 10% more, still losing money, more people leaving. Likely at 50% now with no pivot and bad morale. Compare to cut 70% + some people leave, but now you can hopefully do a major pivot and do better?
- mcguire 4y ago
  Could anyone give, say, 3 examples of that happening?
  - danrocks 4y ago
    I don't know what "that" refers to, but I was at Nokia for a long time while they did 5,10,15% layoffs and it did destroy the morale, people started running for the hills as soon as they could. AirBNB did a 25% one-off layoff and is now doing fine. I don't know of any 70% layoffs but I tend to agree that cutting once and hard is the best approach, given what I experienced with paper-cut layoffs.
  - allanmacgregor 4y ago
    Hopper during the pandemic cut down 70% in multiple layoffs. Later that year they hit $3.5B valuation https://techcrunch.com/2021/08/17/hopper-raises-170m-on-3-5b-valuation-as-travel-surges-and-its-fintech-tools-help-offset-variant-concerns/ https://techcrunch.com/2021/08/17/hopper-raises-170m-on-3-5b...

rufus_foreman 4y ago

Have you not been through one of these cycles before? When things get bad, there is nowhere to jump ship to, for quite some time. Hopefully we're not heading there, but as the message says, "things don't look good".

fzeroracer 4y ago
I've been through multiple of these cycles, thank you. I don't need someone to try and explain what I've experienced. There's almost always better opportunities for an experienced dev because there are plenty of industries better suited to weathering out a recession.

foobarian 4y ago

I mean, losing money is a great way to kill your company. What's better: cut 10%, lose money, people leave, cut 10% more, still losing money, more people leaving, cut 10% more, still losing money, more people leaving. Likely at 50% now with no pivot and bad morale. Compare to cut 70% + some people leave, but now you can hopefully do a major pivot and do better?

mcguire 4y ago
Could anyone give, say, 3 examples of that happening?
- danrocks 4y ago
  I don't know what "that" refers to, but I was at Nokia for a long time while they did 5,10,15% layoffs and it did destroy the morale, people started running for the hills as soon as they could. AirBNB did a 25% one-off layoff and is now doing fine. I don't know of any 70% layoffs but I tend to agree that cutting once and hard is the best approach, given what I experienced with paper-cut layoffs.
- allanmacgregor 4y ago
  Hopper during the pandemic cut down 70% in multiple layoffs. Later that year they hit $3.5B valuation https://techcrunch.com/2021/08/17/hopper-raises-170m-on-3-5b-valuation-as-travel-surges-and-its-fintech-tools-help-offset-variant-concerns/ https://techcrunch.com/2021/08/17/hopper-raises-170m-on-3-5b...