How Silicon Valley layoffs could impact North Texas

More tech company layoffs are in the future

DALLAS (CBSDFW.COM) – For years, Silicon Valley's tech companies appeared to operate like Teflon – economic troubles never seemed to stick. Until now.

"We call them tech companies, but they're really consumer product companies," explains Michael Davis, an economics professor at the SMU Cox School of Business. "What does Amazon depend on? It depends on us buying things online. What does Apple depend on? It depends on us buying phones and all of the rest of that stuff."

Davis says the tech sector is also very much a part of the North Texas economy. And with inflation forcing consumers to rethink how and where they spend – news of 11,000 Meta layoffs should be considered an economic 'canary in the mine.'

"It's really important that workers not take their jobs for granted. If you have a job embrace it and do a good job," advises Davis. "If you don't like it then go get a different job. But don't stay in a job that you really don't like and just do a pitiful performance thinking `they won't lay me off,' they might lay you off!"

And tomorrow's workforce is taking note as well. Raleigh Dewan graduates from the SMU Cox School of Business in May with a degree in marketing and creative writing – along with a half dozen minor majors. So he's got options. Still, he says he and his peers are aware of the changing economic and employment climate.

"We definitely have noticed a shift from 'I have all the cards' to 'now I have to play cards'," says Dewan. But he feels prepared.

"I'm feeling pretty good, and a lot of my friends are too – not to say that people aren't going through the traditional existential angst of 'what am I gonna be when I grow up' now that I'm graduating next semester," he adds with a laugh. "But from what I've seen we still have a lot of job opportunities being pushed out through campus."

"It is a good job market right now," says Davis. But he also warns that the days of employers begging for applicants is likely over.

"People who are thinking about getting a job should quit thinking and get your resumes out there."

Read more
f

We and our partners use cookies to understand how you use our site, improve your experience and serve you personalized content and advertising. Read about how we use cookies in our cookie policy and how you can control them by clicking Manage Settings. By continuing to use this site, you accept these cookies.