economy
February 4, 2026
More companies are pointing to AI as they lay off employees
Updated on: February 3, 2026 / 5:47 PM EST / CBS News
TL;DR
- Companies are increasingly citing AI adoption as a reason for layoffs.
- In 2025, over 55,000 job cuts were directly attributed to AI, a significant increase from previous years.
- The tech industry accounts for a large portion of these AI-related job losses, concentrated in states like California and Washington.
- Some economists and experts suggest that companies might be using AI as a pretext or excuse for layoffs, rather than the primary driver.
- Several major tech companies like Amazon, Pinterest, HP, and others have announced significant job cuts, with AI mentioned as a factor or a strategy for future growth and efficiency.
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