AI-driven job cuts are expected to rise: Survey

Artificial Intelligence (AI) is set to reshape the global workforce significantly over the next two years, with an overwhelming majority of business leaders expecting workforce reductions as automation becomes more widespread.

A new global survey found that more than 99 per cent of senior executives believe AI will lead to at least some reduction in employee headcount within the next two years. The study gathered responses from approximately 12,000 participants worldwide, including executives, human resources professionals, and employees.

The findings underscore the growing influence of AI in corporate decision-making. Nearly 98 per cent of executives surveyed said they are planning organisational changes in the coming years, with many focusing on integrating AI and automation into their business operations.

Several major technology companies have already linked workforce reductions to AI investments. Firms such as Amazon, Atlassian, Block, Fiverr, Pinterest, and Snap have announced layoffs as they increase spending on AI-driven technologies. Industry estimates suggest that AI-related workforce reductions impacted around 50,000 jobs in 2025 alone.    

Despite concerns about job losses, some business leaders remain optimistic and state that technological advancements have historically created new opportunities even as they replace certain roles. Supporting this view, a recent study by Harvard Business School found that generative AI is increasing demand for jobs where employees can effectively collaborate with AI systems. The study found that the largest workforce reductions are currently concentrated in sectors such as technology and finance.

Employee concerns, however, continue to grow. The survey revealed that only about one-third of executives believe that organisations have successfully figured out how to combine human and machine capabilities at scale. More than one-third of employees surveyed said they would consider leaving their jobs if they felt disadvantaged compared to colleagues with stronger AI skills. 

As AI adoption accelerates, businesses and workers alike face the challenge of adapting to a rapidly evolving workplace.