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It is happening across the board, not just in your region. I’ve noticed the exact same pattern in my division. Requisitions are being pulled left and right, and the talk about 'optimizing overhead' is corporate speak for a total freeze. My manager stopped giving updates weeks ago, and now they just change the subject if anyone brings up the open roles. It is definitely creating a weird atmosphere in the office. Everyone is nervous about where the budget cuts are going to land next.
Stop looking for clarity from management; they aren't going to tell you anything until they’re forced to. When the company starts tightening the belt this aggressively, it usually means the quarterly targets were missed and they’re scrambling to pad the numbers before the fiscal year ends. Don't stress about the backfill for now. Just keep your head down, do your work, and start dusting off your resume on the side. If they're freezing hiring, they're likely already planning the next round of 'efficiencies.'