VDSI, Layed off maximum of young talented individuals any ideas​ why young people been removed rather then mid and senior level employees

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Every layoff has a predefined budget for severance compensation. Companies usually try to optimize this cost. Laying off junior and mid-level employees costs significantly less because their salaries are lower and their severance payouts are linked to years of experience and tenure.

For example, a fresher earning ₹6–8 LPA with 1–2 years of experience may cost the company only 1–2 months of severance. In contrast, a senior engineer earning ₹30–40 LPA with 10–15 years of experience may require 6–12 months of severance, along with gratuity, extended insurance, and other benefits. From a pure financial standpoint, removing one senior employee can cost the same as laying off multiple junior employees.

Another example is team restructuring. If a project is being shut down, companies often retain a few senior architects or leads who can be redeployed, while letting go of juniors who have narrower skill sets and are harder to reassign quickly. This reduces both severance cost and future payroll burden.

That is why in many layoffs, companies prefer to reduce headcount at the junior and mid-junior levels first. It is not always about performance. It is largely a cost-optimization decision driven by severance budgets, compensation structures, and ease of replacement once hiring resumes.

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Every Organisation treated their juniors engineers as coding factories guided by their seniors engineers/architects.With copilot/cursor it's quite evident that they don't need so many junior and rather push the seniors to do more.That being said,it's not very sustainable with only the seniors and no junior pipeline.

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