AI was behind over 50,000 layoffs in 2025

Some of the world's biggest tech companies cited AI as part of their layoff and restructuring strategy in 2025.

AI was behind over 50,000 layoffs in 2025

TL;DR

  • AI is cited as the cause for approximately 55,000 layoffs in the U.S. in 2025.
  • Total job cuts in 2025 reached 1.17 million, the highest since 2020.
  • Companies like Amazon, Microsoft, Salesforce, IBM, Crowdstrike, and Workday have announced significant layoffs, attributing them partly or wholly to AI.
  • Some experts, like Fabian Stephany, propose that AI may be used as an excuse for layoffs resulting from overhiring and market correction.
  • AI is seen as a cost-saving solution for businesses facing inflation and rising expenses.