Despite a growing number of mass layoffs underway in tech, companies are as concerned as ever about holding onto top performers and keeping staff motivated and productive. For that reason, some firms have also been offering cash bonuses, more stock, or better benefits to workers. This issue will likely loom large for tech giants that have made big cuts this month.
It might seem contradictory for employers to be trying to keep some workers happy even while they're laying off thousands of others. But many companies are cutting predominantly in areas like marketing and recruiting while continuing to hire in technical areas, such as software engineering.
"The competition for talent is still ever-present," Aalap Shah, managing director at compensation consultancy Pearl Meyer, told The Information this week. Shah said that while tech companies have made an effort to control costs in the second half of this year, most have also increased their employees' compensation in some form over the last six months, often through equity grants.
"What they're trying to do is calm the nerves of individuals who are left behind," he said.