The Double Whammy

The “double whammy” refers to the 2 major developments affecting our earnings as employees, entrepreneurs and investors currently. They are:

1. Layoffs (Current and Imminent) Due To AI Replacing Humans

2. The US Tariffs On Every Country In The World

Nothing like these 2 in their scope and scale has ever happened in our history before.

Add the 2 together — and the world is changing drastically right before our very eyes, right at this very moment.

It’s about to get worse in the coming weeks and months.

We all need to not only brace ourselves, but figure out ways to ride it out.

Layoffs and Job Displacement

I talked about how AI is replacing jobs in certain industries by the millions globally in a previous post. If you missed that, here it is below:

In Big Tech, Meta, Google, Amazon, Microsoft, and IBM have been busy cutting roles in human resources, customer support, marketing, engineering, and even content creation these past few months.

They have also been busy unveiling AI systems that “streamline” or automatethose same tasks — sometimes days later.

For example, Google eliminated hundreds of support and sales jobs.

Then it expanded its AI tools for writing and customer service​.

Amazon downsized its Alexa team in November 2023.

It then launched a new AI shopping assistant called “Rufus”.​

Even IBM’s CEO Arvind Krishna openly stated that 30% of back-office roles could be replaced by AI within 5 years​.

Across the board, support staff, writers, recruiters, junior analysts – all are disappearing in this “AI jobs apocalypse,” as some are calling it.

This wave of AI-driven automation is quietly widening corporate profit margins (labour is expensive, and AI is comparatively cheap) and displacing thousands of workers in the process.

The trend reflects past technological revolutions (from the Industrial Revolution to the internet age) where automation boosts productivity but leaves many workers needing to reskill or find new roles.

In short, AI is transforming white-collar work and triggering large-scale job displacement in ways we are only beginning to grasp.

In addition, some companies are already freezing hiring. See below:

Salesforce’s decision will no doubt also be the decision of many other companies moving forward, as AI technology gets better and better with time.

Global Tariffs Plan and Potential Job Losses

As you already know, the United States has announced sweeping tariffs on imports from every country in the world​.

This plan establishes a universal 10% tariff on all goods coming into the U.S., with even higher rates for certain countries like China at…I think it was 145%?

Or is it 245% now?

Except for semi-conductors, iPhones, batteries.

Or are they exempted only temporarily?

Who knows how things are currently, with the Trump administration?

Whatever it is, one thing’s for sure.

Putting tariffs on every single country in the world is an unprecedented move.

It’s the biggest upheaval in global trade norms since World War II.

Tariffs are​ essentially a worldwide tax on imported products which are paid by the US importers, not the exporters as Trump would like us to believe.

His goal is to protect American industries and push companies to make things in the U.S., but such broad tariffs come with serious side effects.

How could tariffs lead to U.S. job losses?

For one, tariffs make imported materials and goods more expensive for American businesses and consumers. Companies that rely on global supply chains suddenly face higher costs for parts and inventory.

Many firms will pass these costs to consumers via higher prices. This can reduce demand for their products.

If people buy less, businesses may see declining sales and could lay off workers to cut costs.

In other cases, companies might try to absorb the cost increase by cutting other expenses – often meaning jobs or wages.

Additionally, other countries are retaliating with their own tariffs on U.S. exports, making American-made goods harder to sell abroad.

This retaliation hurts industries like agriculture and manufacturing, potentially forcing layoffs in factories and farms when export orders dry up. This is already happening to farmers of soybeans and pork.

Economists warn that an all-around trade war slows economic growth and can even tip economies into recession.

Remember: No country wins in a trade war.

Instead, supply chains get disrupted and growth stalls.

It will ultimately cost the U.S. economy hundreds of thousands of jobs as the ripple effects play out.

The logic is simple.

While a few jobs might be gained in protected industries (like steel) due to less foreign competition, many more jobs are likely to be lost in industries that depend on imported materials or export markets.

For instance, studies found that steel-consuming jobs outnumber jobs with steel-producing jobs by a whopping 80 to 1.

This means tariffs on steel hurt far more workers in auto manufacturing or construction than they help steel mill workers​.

And across the board, a blanket tariff on all imports raises costs economy-wide.

Businesses facing higher expenses may freeze hiring or cut staff, and consumers paying more for goods have less money to spend elsewhere.

As such — this global tariff plan, though intended to re-shore U.S. industries, could backfire by triggering job losses in multiple sectors and pushing the U.S. toward an economic slowdown.

The AI and Trade War Pressure Cooker

So on the one hand, AI is replacing workers (often in high-skill, white-collar jobs) with algorithms and chatbots.

On the other hand, a global trade war is raising costs and reducing demand, threatening jobs in manufacturing, agriculture, retail, and more.

These two forces are very different in nature, but their effects converge in a troubling way:

An office worker might lose her job because a new AI tool can do her tasks, at the same time a factory worker in her company could be laid off because the company can’t afford raw materials due to tariffs or can’t export its product overseas anymore.

With these challenges in mind, what can we do to counter them?

Below is a practical list of 10x strategies for you to consider implementing:

10x Strategies for Employees

1. Upskill with AI Tools
   Learn to work with AI instead of against it. For example, take online courses in data analysis, coding, or AI-driven software relevant to your field. Knowing how to use the latest tech makes you harder to replace and more productive.

2. Focus on Human-Centric Skills
   Develop strengths that machines can’t easily replicate. Skills like creative thinking, leadership, teamwork, and emotional intelligence are always in demand. These human qualities will help you stay valuable even as automation and AI expands.

3. Stay Flexible and Adaptable
   Be open to changing roles or even changing industries if needed. The job you have today might evolve or disappear, so be ready to pivot.
   
   Embrace lifelong learning and be willing to take on new responsibilities at work. This shows employers you can adapt rather than be made redundant.

4. Build a Financial Cushion and Side Hustle
   In uncertain times, financial security is key. Try to save a bit more of your income to create an emergency fund (to cover a few months of living expenses).
   
   If you can, consider starting a small side gig or freelance work related to your skills. This extra income stream not only provides a safety net if you lose a job, but could even grow into a new career opportunity.
   
   I have what I consider the perfect side hustle that you can do from anywhere in the world, in your spare time. Simply reply this email with “10x Side Hustle” and I’ll revert with the details.

5. Network and Stay Informed
   Keep your resume up to date and maintain connections with colleagues and others in your industry. Networking isn’t just for job hunting when you’re unemployed — it can alert you to new opportunities and trends before big changes hit.
   
   Also, stay informed about how AI or trade changes are affecting your company or sector. If you see the writing on the wall, you can prepare or make a move early, on your terms.

10x Strategies for Entrepreneurs

1. Embrace AI to Boost Your Business
   Don’t fear AI — leverage it. Use AI tools to automate routine tasks (like bookkeeping, customer service chats, or basic marketing emails) so you and your team can focus on higher-value work.
   
   This helps keep your operation lean and efficient, which is crucial if you face rising costs or a tight labour market.

2. Find Opportunities in the Chaos
   Look for problems created by AI disruptions or tariffs, and build solutions for them. For example, if imports are pricier due to tariffs, there may be new demand for local products or services — can your business fill that gap?
   
   Or if big firms in your area are cutting customer support staff in favour of chatbots, perhaps your company can offer a boutique, human-touch service that frustrated customers will appreciate.
   
   Every big change creates niche opportunities for those who pay attention.

3. Diversify Your Supply Chain
   If you rely on suppliers or manufacturers abroad, start diversifying now. Source materials from multiple countries or find domestic suppliers, even if it costs a bit more.
   
   Having alternative supply options means one tariff or trade dispute won’t cripple your business. In short, don’t put all your supply chain eggs in one basket. This is easier said than done, of course — but what other options do you have?

4. Stay Agile and Lean
   In a volatile environment, avoid getting overextended. Be cautious about taking on heavy debt or hiring too fast.
   
   Instead, aim to keep operations flexible – for instance, you might use short-term contracts or cloud services that can scale up or down as needed.
   
   Being lean and agile means you can quickly adjust if market conditions change, rather than being stuck with high overhead.

5. Invest in Your People (and Yourself)
   Make sure you and your team keep learning. Provide training in new technologies like AI or in skills that can improve efficiency.
   
   Cross-train employees so they can handle multiple roles if you need to downsize or reorganise. A small business’s best asset is often a versatile team.
   
   By building a workforce (including the founder!) that can wear many hats and innovate, you increase your venture’s chances to survive and thrive through turbulent times.

10x Strategies for Investors

1. Invest in Innovation (Selectively)
   The AI revolution creating layoffs is also creating growth in AI companies and productivity tools.
   
   Consider investing in sectors or companies that are leading in AI, automation, and robotics, as they stand to benefit from the rush to boost efficiency.
   
   But do your homework and avoid overhyped stocks – focus on firms or projects with real revenues or proven tech, not just flashy promises.

2. Look for Domestic Growth Opportunities
   With tariffs making imports costlier, U.S. companies that can produce goods domestically may become more competitive.

   
   You might seek out investments in industries like American manufacturing, infrastructure, or suppliers of critical materials.
   
   These could gain an edge if companies re-shore their supply chains to avoid tariffs. Similarly, businesses that provide alternatives to imported goods could see growth.

3. Diversify Against Uncertainty
   Don’t bet your whole portfolio on any single trend, no matter how promising. Make sure you diversify across different sectors and asset classes.
   
   For instance, you might hold a mix of stocks (tech, industrial, consumer staples), some bonds or fixed-income (for stability if the economy slows), some international stocks or funds, gold, bitcoin and some altcoins.
   
   Diversification helps protect your investments if one area (say, tech or export-focused companies) hits a rough patch.

4. Focus on Resilient Companies
   In an environment of AI disruption and trade turbulence, some businesses will weather the storm better than others.
   
   Look for companies with strong balance sheets (low debt, good cash flow) and management teams that have a clear plan for adapting to change.
   
   Firms that are proactively using AI to improve their operations, or those that have diversified supply lines, are likely to do better in the long run. These adaptable companies are safer places for your money.

5. Keep Some Cash Ready
   Market volatility can create opportunities. Set aside a portion of your portfolio in cash or very liquid assets.
   
   This isn’t about trying to time the market perfectly, but having dry powder means if stocks plunge due to a scare (like a tariff announcement or an AI-related earnings shock), you can buy quality investments at a discount.
   
   It also adds a cushion – in case you need funds, you won’t be forced to sell other investments at a bad time.

Each of the above strategies is about being proactive and turning a challenge into an opportunity.

By staying informed, adaptable, and forward-thinking, employees can keep themselves relevant, entrepreneurs can find new ways to deliver value, and investors can position for growth even as old models get disrupted.

Take action NOW to 10x your resilience and upside in response!

Cheers!

P.S. Protect your money and even grow them during this uncertain time (and especially during this time!) with the following:

1. Gold

2. Bitcoin

3. Altcoins Trading (Fully Automated)

NOTE:

The 10x Factors for investors’s content is educational in nature, with examples used to illustrate the learning points. We are not financial advisors and do not provide financial advice. Please speak to your financial advisor before making any investment decision. Note that every investment comes with its own risks and drawbacks. Past results cannot guarantee future returns. Do not invest with money you cannot afford to lose.

This content may contain affiliate links. When you click on these links and make a purchase, we may receive a commission at no additional cost to you. We only promote companies that we have personally used or researched and believe will add value to our readers.