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This doesn’t feel correct to me. I graduated with a CS degree in 2001. Companies were downsizing and shutting down when I started working in the fall of 2001.

by jrmg 4y ago

This doesn’t feel correct to me. I graduated with a CS degree in 2001. Companies were downsizing and shutting down when I started working in the fall of 2001. To complain more concretely: I think the stats are wrong. The dot com bubble didn’t really burst until 2001 - but this post cites statistics between “December of 1999 and January of 2001”. It also doesn’t say where it got it’s 2000s stats from.

mgarfias 4y ago
SV jobs were all over the place in mid 2001. After 9/11, they were gone. Took me 9mos to find a gig after that. It sucked
- jrmg 4y ago
  Yeah, agreed. When I started working in the fall - at a company that didn’t have layoffs, at a job I was offered in the spring - there were layoffs and closures happening at other places all around me and I remember feeling sort of guilty about it.
synu 4y ago
Also, often in 2001 companies were closing rather than laying off percentages. Or do they count those as layoffs anyway?
- jrmg 4y ago
  _If_ you trust the stats, it supposedly does - it says it counts: employees laid off (or lose their jobs due to Tech companies going out of business)
- slut 4y ago
  Did they have rounds of layoffs first before closing down? Because this may just be the beginning. The fed rates generally take 9-12 months to hit the real economy. We're going to be feeling this for a while.
  - jrmg 4y ago
    They did. But I still feel this is different. In 2001, there were _loads_ of companies that were started in the mid-late 90s on internet hype, and either had literally no business model apart from ‘drive up engagement and we’ll work it out later’, or had a business model (‘deliver pet food quickly’) that just wasn’t working, and growth charts that should it wouldn’t in the foreseeable future. They’d all been just hemorrhaging cash for years. Is that as widespread now? This feels more like an established industry that’s taking the (perhaps ill advised) opportunity to make itself more (on paper, at least) efficient to me.

by jrmg 4y ago

mgarfias 4y ago

SV jobs were all over the place in mid 2001. After 9/11, they were gone. Took me 9mos to find a gig after that. It sucked

jrmg 4y ago
Yeah, agreed. When I started working in the fall - at a company that didn’t have layoffs, at a job I was offered in the spring - there were layoffs and closures happening at other places all around me and I remember feeling sort of guilty about it.

synu 4y ago

Also, often in 2001 companies were closing rather than laying off percentages. Or do they count those as layoffs anyway?

jrmg 4y ago
_If_ you trust the stats, it supposedly does - it says it counts: employees laid off (or lose their jobs due to Tech companies going out of business)
slut 4y ago
Did they have rounds of layoffs first before closing down? Because this may just be the beginning. The fed rates generally take 9-12 months to hit the real economy. We're going to be feeling this for a while.
- jrmg 4y ago
  They did. But I still feel this is different. In 2001, there were _loads_ of companies that were started in the mid-late 90s on internet hype, and either had literally no business model apart from ‘drive up engagement and we’ll work it out later’, or had a business model (‘deliver pet food quickly’) that just wasn’t working, and growth charts that should it wouldn’t in the foreseeable future. They’d all been just hemorrhaging cash for years. Is that as widespread now? This feels more like an established industry that’s taking the (perhaps ill advised) opportunity to make itself more (on paper, at least) efficient to me.