Over 1L tech workers laid off in 2025. Reason? AI
What's the story
The year 2025 has seen a wave of job cuts across the technology sector, with over one lakh employees losing their jobs. According to Layoffs.fyi, an independent tracker of layoffs, more than 122,549 tech workers have been laid off by as many as 551 companies. The trend is largely attributed to the growing influence of artificial intelligence (AI) in the industry.
Corporate downsizing
Major companies announce significant layoffs
Several major tech companies have announced massive layoffs this year. Amazon, for instance, announced its biggest-ever layoff in October, cutting 14,000 corporate jobs. The move was part of a strategy to invest more in its "biggest bets," including AI. Microsoft also cut 15,000 jobs through 2025 with a major restructuring announcement in July that affected 9,000 employees.
Workforce reduction
TCS and Intel also joined the layoff trend
India's largest tech company Tata Consultancy Services (TCS) announced a 2% cut in its workforce, translating to nearly 12,000 jobs. However, the company denied claims that these job losses were due to AI replacement. It cited skills mismatch and an evolving business model as the real reasons behind this move. Similarly, chipmaker Intel had mostly completed cutting 15% of its workforce by July.
Corporate restructuring
Salesforce and HP announce job cuts
Salesforce's CEO Marc Benioff confirmed in September that 4,000 customer support jobs had been cut with the help of AI. The company is also reportedly looking to hire more staff along with these cuts. Meanwhile, PC maker HP announced plans to cut between 4,000 and 6,000 jobs globally through fiscal 2028 as part of its efforts to streamline operations and integrate AI across workflows.
Additional job cuts
Other tech giants also announce layoffs
Apple has laid off dozens of sales workers across the US, according to a Bloomberg report. Meta's Instagram plans to lay off 600 employees from its AI division in a bid to speed up product development. Google also laid off 100 employees in design-related roles as part of its ongoing push to accelerate its AI agenda.