Mike Andes argues that mass layoffs at large corporations create opportunities for small businesses and startups by flooding the labor market with experienced talent. He suggests laid-off employees may accept lower pay from startups in exchange for more visible impact, greater job meaning, and potentially more stable roles than being a replaceable number at a large firm.
Mass layoffs are a blessing for small businesses. When Fortune 500 and publicly traded companies lay off tens of thousands of employees, it floods the market with talent for small businesses. These employees realize now that being a number on a spreadsheet at a massive company has its own risks in addition to the perks that come along with a big business. And they might be willing to take the lower salary that a startup can afford with the expectation that they'll be able to see their contributions in the business and not risk being laid off simply to a weak quarter on Wall street or some corporate initiative to appease venture capitalists.
