According to CNBC, layoffs have become a prominent feature of the U.S. labor market in 2025, with many large companies announcing thousands of layoffs due to the application of AI technology. According to data from the consulting firm Challenger, Gray & Christmas, nearly 55,000 layoffs in the United States this year were caused by AI. As of 2025, the total number of layoffs in the United States has reached 1.17 million, the highest level since the 2.2 million layoffs during the 2020 COVID-19 epidemic. In October this year, U.S. employers announced 153,000 layoffs, and more than 71,000 layoffs in November. More than 6,000 job losses in November were due to the application of AI technology.

As inflationary pressures intensify, tariffs drive up costs, and companies seek to cut spending, AI has become an attractive short-term solution. A study released by the Massachusetts Institute of Technology in November showed that AI can already fill 11.7% of the jobs in the U.S. labor market and can save up to $1.2 trillion in wage costs in the financial, medical and other professional services fields.

In October this year, Amazon announced the largest round of layoffs in its history, cutting 14,000 company positions in order to invest resources in key projects including AI. As of 2025, Microsoft has laid off approximately 15,000 employees. The most recent layoff was in July this year, involving 9,000 positions.


Microsoft CEO Nadella

IBM announced in November this year that it would lay off 1% of its global workforce, potentially affecting nearly 3,000 employees. IBM CEO Arvind Krishna said in an interview with the Wall Street Journal in May that AI chatbots have taken over the work of hundreds of human resources employees.

Software giant Salesforce CEO Marc Benioff confirmed in September that the company had cut 4,000 customer service positions using AI technology.

Is AI an excuse?

However, not everyone believes that AI is the real driver behind the wave of layoffs. Fabian Stephany, assistant professor of artificial intelligence and employment research at the Oxford Internet Institute, previously pointed out in an interview with CNBC that this may be just an excuse for companies.

Stefani analyzed that many companies that performed well during the epidemic had "seriously over-recruited," and the recent layoffs may just be a "market clearing."

"To a certain extent, companies are now eliminating jobs that lack sustainable long-term development potential. Instead of admitting their misjudgments two or three years ago, they are more inclined to find scapegoats, so they blame AI technology." Stefani said.