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Not a recruiter but I would imagine that chances are they may not have enough $ in their budget to afford to hire some of the people commanding higher salaries. There were layoffs and a re-org on my team just 2 months ago and the only person let go from my team was my boss. No performance issues, they just literally couldn’t afford him anymore (250K salary before bonus). I think that’s part of the issue.
That's also the case in my company, I think you got it right. They are cutting all roles. Of course the higher ones are low hanging fruits and impact can be hard to demonstrate. Also if the suggestion is "cut" if they need to choose between SWE III or Senior SWE I pay ranges for example they will try and stick with one level lower to some degree.
Not a recruiter. For most non-FAANG larger companies, $150-$200k is a pretty solid pre-bonus median salary for intermediate to senior level technical staff that are individual contributors. This probably means there is a lot of competition for a replacement, equivalent role at similar companies once these intermediate to senior level staff get laid off as part of ever ongoing layoffs.