Survey: Most B-Schools Say MBA Job Outlook Impacted By Ongoing Tech Implosion

Elon Musk took over Twitter and laid off thousands. The tech world, including such mega-corporations as Amazon, Microsoft, Dell, and Meta (Facebook), has seen hundreds of thousands of layoffs since the start of 2022

As the tech industry implosion continues, business schools continue to adjust in response. In a new survey from the MBA Career Services & Employer Alliance, B-schools report that the firing of hundreds of thousands in the sector has had an undeniable impact on graduate business education.

In its latest member survey, MBA CSEA says more than 80% of surveyed schools report that the layoffs — which already in 2023 have surpassed 150,000 at tech companies large and small — have at least somewhat impacted the employment outlook for current MBA students, with 9% saying the impact has been significant. Only 18% report that the layoffs have had no impact. The effect has been similar for specialized master’s students: 51% of surveyed schools say they have been somewhat impacted, 15% say significantly, and 34% say not at all.

The association for graduate business career services professionals and employers of MBAs, which has more than 800 members representing more than 250 B-schools and corporations globally, also reports that more than half of surveyed schools say they are providing dedicated resources free of charge to alumni impacted by the layoffs. Thirty-eight percent say they are offering ad hoc resources and 12% say they are not currently offering anything.

MORE THAN 150,000 HAVE ALREADY BEEN LAID OFF IN 2023

According to True Up, a website that tracks layoffs in the tech industry, there have been 559 layoffs at tech companies through March 2, with 156,257 people impacted. That’s an average of 2,562 people per day. In 2022, there were 1,535 layoffs at tech companies with more than 240,000 people impacted. Most recently, self-driving car company Waymo laid off 8% of its employees, or about 200 people; gaming company Electronic Arts laid off 200 on February 28.

Press coverage of B-schools’ role amid the tech bloodbath has understandably focused on those who have lost their jobs: Leading schools in the U.S. and Europe have leaned into a helpful role, offering admission concessions to the hordes of laid-off workers in the form of extended MBA application deadlines, application counseling and other guidance, entrance exam waivers, and more. Most recently, on February 16, the University of Michigan Ross School of Business added a Round 4 to its full-time MBA admissions calendar, with a deadline of May 1. The school cited “In the midst of these uncertain times,” the school writes in announcing the move, “Ross welcomes potential applicants that could be considering a career pivot and may need more time to consider the next steps for their work and education.”

And on February 20, the University of Texas-Austin McCombs School of Business joined the throng, adding a fourth MBA admission round, with a deadline of May 11.

DON’T MISS P&Q’S COVERAGE OF LAYOFFS IN THE TECH INDUSTRY