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Posted by u/throwaway494749 2 years ago
Ask HN: Has the tech recession affected you?
I don't see much talk of it here, but are we in the depths of a serious tech recession? VC world seems to have been decimated, massive layoffs at most tech firms, IT consulting and contracting also decimated.

Have you been affected? Is there any end in sight? Sharing your experiences can help others to know they're not alone.

spamizbad · 2 years ago
I’m a hiring manager. My company did a round of contractor layoffs in 2023 and made a smaller number of FTE hires backfills.

My advice is to hang in there. Often we have 3 strong candidates per open position. The people we reject aren’t getting rejected because they aren’t a good fit or lack skills - it’s just that someone else was a little better. If I had the budget I’d hire all the great people I have the privilege of interviewing.

For what it’s worth I think the industry is starting to run a little too lean. Teams are getting pushed to their limit, there’s no “slack” left for additional output. Contrary to the buzz you see on sites like HN, in the real world AI coding tools are completely underwhelming. The pendulum is losing momentum and I suspect orgs will realize they either need to grow their headcount or downsize their product offerings - meanwhile they’re letting certain products languish because they don’t have the headcount to work on it. And risk appetite for entering new markets is waaay down. The business culture is becoming more conservative (not politically/culturally, but rather in terms of its approach to operations and product development)

This means more opportunities for entrepreneurs and new companies soon. “What if big tech company X just copies you?” — oh you think they’re going to get budget to do that? You think they’re going to hire 50 devs to just copy your random startup? In THIS market? With THIS amount of Wall street scrutiny against quixotic projects? Hah! If you see a gap build it and fill it. The big dogs are all tied up in meetings with finance trying to save their datadog subscription from the chopping block - they won’t notice you until it’s too late.

lucasyvas · 2 years ago
I think you may be right. Though, depending on where you live the supports for starting something vary wildly. And many people are in a position where it is riskier than ever financially to strike it out on their own.

It definitely feels like it's time for next wave of entrepreneurship, but the current environment may make it difficult to realize it.

I was laid off in the summer and tried some smaller ideas for a few months, but it is very hard to be a solo founder in my experience - way too much work wearing all hats. Fortunately I bagged a job to get income stream back in line, but in my gut I feel like I'm missing an opportunity.

I found that I just have too many financial responsibilities to take the leap without either/both a co-founder and seed funding (despite desperately clutching to the notion that bootstrapping is better). And that's hard for many right now.

spamizbad · 2 years ago
For what it's worth, I'm not suggesting anyone who doesn't want to an entrepreneur to become one. For those who always wanted to do it, I'd say take your shot now while everyone's guard is down. Those efforts will ultimately create more engineering jobs and put more devs back to work - so for those folks who are ICs there's downstream benefits (if you're comfortable working at a startup that is)
codegeek · 2 years ago
"The people we reject aren’t getting rejected because they aren’t a good fit or lack skills - it’s just that someone else was a little better."

yes and no. I was just hiring as a founder of a small company. I just filled in that role after receiving like 250 resumes in 1 month. Now, 235 of them were totally irrelevant and people just applying. Remaining 15, I was able to interview 7-8 for Round 1 and then 3-4 made it to Round 2. Out of those, we really like 2 candidates and it was close and since we could only hire 1, we had to say no to the others. Tough but no choice.

It is tough for candidates right now but honestly, majority of people applying are lazy and don't do any homework. Yes it is hard and you cant spend time on every company but if you are applying to small/startups, you have to research a bit. It is harder right now but as an employer, I wouldn't respond if all you did was send a generic resume and worse, applied to a role you have no qualifications for.

samstave · 2 years ago
>>>people we reject aren’t getting rejected because they aren’t a good fit or lack skills - it’s just that someone else was a little better.

This is one of the most disheartening negative impacts for looking for work when you have decades of success in your career:

"We appreciate you applying, but we found others who are better than you. Thank anyway, loser"

These emails, are lose-lose-lose; You lose by getting the email, you lose by the feeling it imbues, you lose because you dont have RHFL to your actions.

I would like a reverse RHFL - an AIRHL (which is what AI is meant to do) (AI Reinforced Human Learning)

Dont tell me I am rejected, I want to know where to improve...

This would be a wonderful triage app for AI going forward - is just a site such as linkedin, should have a GPT that reads your profile/CV and just constantly asks you Continuous Education questions, and gives you credits for answering correctly, and builds training modules for you...

spamizbad · 2 years ago
I don't give this kind of feedback unprompted unless it's asked for by the candidate in which case I will happily oblige. But early in my career I would do this by default the first few times until someone screamed "F--- YOU" and hung up the phone at which point I decided its best to just let people ask instead of giving it out freely.
Slix · 2 years ago
I've struggled to find a Software Engineer job for many months, even with FAANG on my resume. It's nowhere as easy as it was when I graduated college 7 years ago.

I send out my resume and barely get any answers. I don't even get a chance to interview.

That being said, I had a good luck streak in December! I'm waiting to hear back from several companies right now.

jwestbury · 2 years ago
Same -- FAANG, Dropbox, quant hedge fund on my resume, ~10 years of experience, senior engineer. I don't actually want a new job, to be fair, but I prefer to interview at least a couple times a year to keep skills sharp and get a good idea of my value in the market. Right now, my value appears to be approximately nil. It's wild.
randomopining · 2 years ago
How is that even possible? There's a demand for engineers for sure... no?
strikelaserclaw · 2 years ago
how are you looking for new jobs?
MaxHoppersGhost · 2 years ago
The market has been unnaturally juiced by low interest rates for the last decade or so. It should get better but won’t ever get back to what it was for a long time.
Tialco · 2 years ago
Good luck!
busterarm · 2 years ago
A lot of my colleagues bailed on the company at the height of COVID moves for FAANGs and have since been downsized. Meanwhile my company has done its best to keep layoffs far from engineering. Our sales aren't doing super well, but we have cash on hand and a very low amount of debt. And we're already public so we don't need to look for funding.

I'm still saving money in case layoffs happen, especially because I'm remote and moved far outside of tech markets and bought a house last year.

I have a large amount of anxiety looking around my network at folks who I know are competent and have been out of work for more than 6 months. I'm very glad I didn't follow the trend and stayed at a more stable company.

personjerry · 2 years ago
Keep in mind this thread is heavily affected by selection bias; Those who aren't affected have very little reason to contribute.
IsoldesKnight · 2 years ago
Yup. The company I started with last year had layoffs. I wasn't impacted, but I didn't like how they were done. So I applied at a few places and accepted an offer at a new company just last month. For context, my resume does not have FAANG on it.
dcminter · 2 years ago
I'm comfortably in a fun role at the moment, and have no plans to go anywhere any time soon, but I have noticed that the pings on LinkedIn from recruiters (competent or otherwise) have been very infrequent compared to the start of the the year. So not very affected, but the hiring pool looks a little chilly.
silisili · 2 years ago
Great reminder. I opened it thinking 'nope', but had no reason to comment so, especially amongst a sea of heartwrenching stories.

It's still valuable data - it tracks that it's harder to land an interview these days.

ermir · 2 years ago
Struggling a lot with the response rate, once I could get one interview in three applications, now it's one in 50. I am hoping that it will pick up this January since everyone is making plans for the entire year. I was told by a manager in a large startup that they plan to complete hiring for the whole year by the end of February, and it might be the case for the entire industry.
ermir · 2 years ago
For anyone wondering about the best times to apply, conventional wisdom is that January is the best time, since it's planning season for the whole year, and then around August, to get some quick help to reach the end-of-year goals. Of course this is anecdotal and applies in normal circumstances, which I don't think the industry is at.
busterarm · 2 years ago
A ton of people have the impression that "nobody hires in December" but it's the furthest thing from the truth.

Almost every job I've ever landed I interviewed in December. Just last month I interviewed a dozen people or so for roles in my company. My recruiter friends that I talked to all landed a bunch of offers last month.

Everyone is about to get swarmed with resumes right now but there's a pool out there with a three week headstart and less competition because of the reasoning I mentioned.

brailsafe · 2 years ago
That's a scary but realistic thought.
softfalcon · 2 years ago
I haven't been laid off, but a good chunk of my team was.

Anecdotally, I'm hearing lots of stories of companies laying people off and then there are new openings very similar to the position that was let go, but with lower salaries or where one person would be expected to do the work of 2-5 previously laid off folks.

In particular, a person I know from EA Games saw half their department let go, and then replacements appeared a couple months later. All of them had lower pay and were less skilled. This all reads like quarterly profit optimizations by a bean counter up top looking to make the shares look good.

busterarm · 2 years ago
> In particular, a person I know from EA Games saw half their department let go, and then replacements appeared a couple months later. All of them had lower pay and were less skilled. This all reads like quarterly profit optimizations by a bean counter up top looking to make the shares look good.

This is just the regular course of business in the games industry. They like to scale up and down according to need (games in development) and would largely prefer to employ contractors, but laws prevent them working contractors like dogs and studios go where the tax credits are & tax credits require having employees typically.

diarrhea · 2 years ago
It’s weird how that happens. I bet a lot of people would choose a pay cut over being let go entirely.
pie420 · 2 years ago
"lower salaries or where one person would be expected to do the work of 2-5 previously laid off folks"

so only $300k total comp and 20 hrs of work per week?

softfalcon · 2 years ago
In this specific case, closer to $40,000 USD and 40-80 hours per week. These were QA roles at a game development studio in Europe.
the_only_law · 2 years ago
> I'm hearing lots of stories of companies laying people off and then there are new openings very similar to the position that was let go

I haven’t seen much of this, but I’m constantly getting notifications about jobs I was reject for months ago being reposted. I’m not sure if it’s resume fishing or if company’s have delusional standards. And I’m not talking about too their tech companies either.

CoastalCoder · 2 years ago
I was laid off (for the first time) 9 months ago, and I still haven't found a job.

I don't live near a major city. This wasn't a problem when remote work was the norm, or when I could wait for the right remote job to open up. But in the current environment it's a major headwind.

I'm also starting to get concerned about how employers will perceive this long of a job gap.

And the psychological aspect of this long of unemployment is no joke either.

FreakLegion · 2 years ago
Have you tried the monthly HN threads? For example this month's "Who wants to be hired?": https://news.ycombinator.com/item?id=38842975

I'm adding two dozen to the team this year and will start working through that thread tomorrow. I can't be the only one.

francisofascii · 2 years ago
My very generalized perception of those HN lists are as follows:

Who Wants to Be Hired? A bunch of similar people to me or better, with that same tech stacks as me, looking for remote.

Who is Hiring? Companies with tech stacks I don't use, looking for on-site.

CoastalCoder · 2 years ago
Thanks, I just posted to "Who wants to be hired?".

I didn't think there was any point until you mentioned that you'll be looking for candidates there.

NotSammyHagar · 2 years ago
I think companies are much more selective. They were looking for non-manager work much more than lead. I have done both so shifted myself to look for IC work.
coldtrait · 2 years ago
I'm in the same boat. Hang in there.
irvingprime · 2 years ago
Well, I got laid off. I have a decent resume. In past job hunts, I got call backs on 50% of applications. Now responses are closer to 1%.

Sure seems recessionish to me.