Is AI causing tech worker layoffs? That's what CEOs suggest, but the reality is complicated
SAN FRANCISCO BAY AREA, BOSTON, AND SEATTLE, JUL 30 – Tech giants like Microsoft and Google cut thousands of jobs while boosting AI investments, with technical vacancies falling 36% since early 2020, reports show.
- Microsoft revealed that it has reduced its workforce by approximately 15,000 employees this year as it prepares to report its earnings for the fourth quarter on Wednesday.
- These layoffs and tech sector job declines follow a broader cooling of the job market and predate the current AI era, complicating direct attribution to AI.
- Other tech companies like Tata Consultancy Services, Autodesk, and CrowdStrike also cut jobs citing resource shifts to accelerate AI investments and organizational realignment.
- Indeed reports tech job postings in July fell 36% from early 2020 levels, with entry-level roles hit hardest while AI specialists remain in better demand despite still not recovering fully.
- These trends suggest companies balance maintaining headcount with expanding AI capabilities, making AI spending a more common factor than outright job replacement so far.
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Laying off workers because of AI is more of a fashionable excuse than a real business imperative, study suggests
If you read the typical 2025 mass layoff notice from a tech industry CEO, you might think that artificial intelligence cost workers their jobs. The reality is more complicated, with companies trying to signal to Wall Street that they’re making themselves more efficient as they prepare for broader changes wrought by AI. A new report Wednesday from career website Indeed says tech job postings in July were down 36% from their early 2020 levels, wit…
Is AI causing tech worker layoffs? That's what CEOs suggest, but
If you read the typical 2025 mass layoff notice from a tech industry CEO, you might think that artificial intelligence cost workers their jobs. The reality is more complicated, with companies trying to signal to Wall Street that they’re making themselves more efficient as they prepare for broader changes wrought by AI. A new report Wednesday from career website Indeed says tech job postings in July were down 36% from their early 2020 levels, wit…
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