My experience is that software businesses and teams have an internal pressure to grow the number of software engineers on staff. I have seen three things swirl

My experience is that software businesses and teams have an internal pressure to grow the number of software engineers on staff. I have seen three things swirl together to cause that. 1 - During periods of company growth (increased revenue and profits), there is a tendency of leadership to not have their hands on the wheel. You tend to see growth in company "cost-centers" instead of "profit centers." So you'll get new efforts that don't directly contribute much in increasing revenue. Early in my career I wasn't tuned into the need to really build your work and projects directly into profit center activities. 2 - Internally, I have seen people grow the number of staff underneath them as an almost weird way of justifying a promotion (eg, "executive VP mucky-mucks have N employees and I'm now managing N employees, promote me to executive VP mucky-muck"). 3 - I have seen smaller companies really focus in on the revenue and/or profit per employee number to guide hiring plans. So during a good period of revenue/profit growth, a CEO/owner-type will say something like "It looks like every engineer I add at $1X0,000 is resulting in $[2|3|4]X0,000 additional revenue or profit - let's just keep adding engineers." These napkin calculations are devoid of deeper market analysis. If you went one-on-one with every single software engineer at a big tech company or in a smaller org, you probably wouldn't find many who aren't busy with work. You just probably would find a bunch on "nice to have" work instead of real revenue generators.