You make a good point. The shrinking headcount is not necessarily tied to mass-firing. It's more likely tied to +10M newly trained engineers entering the job market every year, but only 50 positions being opened.
Over time, with each recessions, headcount will shrink at some companies, and will not grow back to pre prior levels. Over time, the line trends downwards
Over time, with each recessions, headcount will shrink at some companies, and will not grow back to pre prior levels. Over time, the line trends downwards