---
title: Tech Layoffs Q2 Update
description: Get the latest Q2 2023 update on tech layoffs and uncover key industry trends. Understand the factors driving workforce changes and how businesses are adapting.
image: https://alten.capital/hubfs/layoffs-cover.png
---

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[Alten Capital](https://alten.capital/blog/author/alten)  July 5, 2023

# Tech Layoffs Q2 Update

Alten Capital’s focus on business services and technology services companies makes us examine the talent market, especially for technology professionals.

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We saw a spike in tech layoff announcements in early 2023, and we started tracking this data from Layoffs.fyi ([https://layoffs.fyi/](https://layoffs.fyi/)). Below is a Q2 update.

![layoffs-quarterly](https://alten.capital/hs-fs/hubfs/layoffs-quarterly.png?width=1918&height=794&name=layoffs-quarterly.png)

Q1 2023 seems to have been a peak in tech layoff announcements worldwide, as Q2 shows less than 30% of employees laid off (~44,000 in Q2 vs. ~160,000 in Q1) from roughly half the number of companies (~270 in Q2 vs. ~590 in Q1). The absolute numbers may be off month-to-month and quarter-to-quarter, but the data trends are relevant and can be insightful.

Our Q1 update ([https://alten.capital/blog/tech-layoffs-q1-update](https://alten.capital/blog/tech-layoffs-q1-update)) mentioned that the tech industry typically reacts promptly to macro changes. This was reflected in quick actions to right-size their teams in Q1 based on macro headlines vs. Q2, which showed less layoff activity.

![layoffs-monthly](https://alten.capital/hs-fs/hubfs/layoffs-monthly.png?width=1910&height=804&name=layoffs-monthly.png)

On a monthly basis, we have seen a lower number of tech employees laid off every month since January 2023. The trend is encouraging.

Overall, unemployment in the US ticked up from 3.5% at the end of Q1 to 3.7% currently. Employment continues to be solid.

In summary, organizations continued to scale back their right-sizing plans during Q2. At Alten Capital we focus on scaling talent-based business services and technology services companies. Please reach out to us to explore partnership opportunities.

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