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Layoffs in software, internet, telecom, and media are up ~20% from their pre-Covid pace. The rest of the economy is laying people off more slowly than it did then.

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Software payroll was treated as capitalized growth when rates were zero. Once hurdle rates moved, it got repriced as variable cost. In the physical economy, replacement friction is higher and capacity takes years to rebuild, so firms hoard labor instead of defending quarterly margins.