America’s workers are facing a new reality — and it’s not just layoffs they need to worry about. Some of the most prized job perks are now being quietly stripped away, with companies cutting paid time off and parental leave as power shifts back firmly to employers.
Major Firms Scale Back Benefits
Firms including Zoom and Deloitte have already begun scaling back benefits — a move experts warn could spread rapidly across corporate America. It comes as layoffs climb across the US — with more than 60,000 job cuts announced in March alone — while fewer workers are quitting, a sign Americans no longer feel confident about finding something better. After years of companies piling on perks to attract talent, the direction of travel has flipped.
At Zoom, parental leave for birthing parents has been cut to 18 weeks from as much as 24, while non-birthing parents now get 10 weeks instead of 16. Deloitte is also trimming leave and planning cuts to pensions, PTO and even IVF support in some roles.
Employee Reactions
Employees and experts have reacted with fury, warning the cuts hit families hardest. Nicole Kryza, a compliance manager in Michigan, wrote on LinkedIn that she was 'speaking for employees who may feel too afraid to speak up,' adding that parental leave 'is not a perk' but a reflection of company values and commitment to working families. She also criticised the idea that aligning with industry standards justified the rollback, arguing that reducing benefits for caregivers 'sends a clear message about priorities.'
Elsewhere, reactions were equally critical. Alyx MacKinnon, a consultant based in New Jersey, described the move as 'horrifying policy change from Zoom,' adding that it was especially concerning in a country without mandated parental leave. She said many of her peers are currently starting families and that scaling back leave had already influenced her view of potential employers, adding that she would no longer recommend Zoom roles to colleagues. 'Do better,' she wrote bluntly, concluding her post.
On Reddit, discussion around Deloitte's cuts focused more on broader industry trends, particularly within consulting. One commenter, who said they work in the sector, argued that firms often treat these roles as cost centres, meaning they are among the first to be affected during budget tightening.
Ripple Effect Across Labour Market
Experts say the concern is not just about individual companies, but the potential ripple effect across the labour market. Former Google HR chief Laszlo Bock warned that such moves can quickly normalise similar decisions elsewhere. 'It legitimizes that action for everybody else,' he told Business Insider, noting that workplace trends — from return-to-office mandates to cuts in diversity policies — have often spread after early adopters take action.
Bobbi Thomason, professor of applied behavioural science at Pepperdine Graziadio Business School, added that while Zoom and Deloitte may currently stand out, 'they could become precedent-setters.'
Timing and Worker Leverage
The timing of these changes is also key. With hiring slowing and more workers staying in their jobs, employees have less leverage to push back. Tech layoffs are mounting fast as companies shift spending into AI. Amazon has cut about 30,000 jobs since October, while Meta plans to slash roughly 8,000 roles — around one in 10 of its workforce. Dell has cut 11,000 jobs, Block 4,000, and Epic Games 1,000. Atlassian has reduced staff by 10 percent, while Oracle has begun fresh cuts.
The US quit rate recently edged down to 1.9 percent, according to data from the Bureau of Labor Statistics — a sign that fewer people are voluntarily changing jobs. That shift in power dynamics is significant, according to Joshua Lavine, CEO of Capitol Benefits. 'They don't have the leverage they did a few years ago,' he said. However, experts also warn that cutting benefits may come with hidden costs.
