Why are Job Cuts in Tech a Big Break for Automakers? Because the Future of Cars is Electric – Meaning They Need New Tech Workers

You’ve probably already heard about the recent massive layoffs from tech and social media companies like Twitter, Microsoft, and Amazon. But did you know the same people suffering losses in the tech industry could find big success in the automotive market?

From manufacturing plants to car dealerships, the auto industry is searching for tech-savvy workers to help make the electric vehicle future into today’s reality – and big tech companies just gave those same workers the freedom to choose a new industry position.

Let’s talk about why tech is having layoffs, why automakers aren’t, and how this benefits the automotive industry and its employees and customers.

The Rise and Fall of the Tech Industry – Why Cut Jobs Now?

In the first month of 2023, over 55,000 workers will be laid off by just over 154 tech companies. Why, when tech is one of the world’s biggest and most successful industries today?

It’s because many companies overhired in the past and can’t sustain their current workforce in an economy that’s slowing down, according to CEOs from Google and Salesforce. They’re now trying to correct course – make up for the mistake of hiring more people than they could keep – by laying off thousands of workers all at once.

It’s not a positive change, but it’s actually pretty common in some industries to lay off workers when making changes. Take the automotive industry, for example.

A Decade of Layoffs and Planning Prepared Automakers for the Electric Vehicle Market

After economic issues hit the auto industry hard in 2009 and new emissions laws were passed, large manufacturers began making smarter hiring moves while planning for an electric future – including layoffs.

Because of this, far smaller job cuts have been made in response to economic troubles – 3,200 jobs are being cut from Ford in Europe, and Stellantis is shutting down a plant this February that will put 1,350 workers out of a job – and the companies actually need a bigger workforce.

Specifically, a workforce for their manufacturing plants and car dealerships specializing in tech.

How Tech Layoffs Benefit Workers, Customers, and the Auto Industry as a Whole

Now that electric battery creation and high-tech cars are turning into an over $300 billion industry, the search for capable workers is heating up.

Automakers will need more tech-savvy workers for creating and servicing electric vehicles, and car dealerships will need salespeople interested in and knowledgeable about technology to help maintain and sell them.

People who used to work in tech companies will bring invaluable skills and insight to electric car manufacturing and maintenance while getting more money and a more stable position in an economy on a downturn.

And customers won’t have to wait for new electric vehicles to be released once every few years – more options will come far more often, with people in sales able to explain them to the average customer as well.

These tech layoffs may be just what the automotive industry needs to thrive in the next few years, so keep an eye out for job openings and new electric offerings from car dealerships!