Final week, on-line retail large Amazon introduced it could lower about 14,000 company workers worldwide. Amazon CEO Andy Jassy had already warned of potential layoffs in June, saying the elevated use of synthetic intelligence instruments and brokers would result in extra firm layoffs.
Per week earlier than Amazon’s announcement, Meta, the world’s largest social media firm, introduced it could lower about 600 positions at its Superintelligence Institute to make its AI division extra versatile and responsive.
In July, IT providers supplier Tata Consultancy Companies introduced it could lower greater than 12,000 jobs as the corporate continues to retrain and redeploy workers to new markets, spend money on and deploy new know-how and AI. That very same month, tech large Microsoft introduced it could lay off almost 4% of its workforce to chop prices because it continues to spend money on AI.
Layoffs have raised issues that AI will take jobs, however the know-how itself is not going to immediately put folks out of labor. Moderately, investments in AI are reshaping enterprise methods, with corporations adopting new applied sciences, reconfiguring their workforces, and prioritizing hiring workers with AI-related expertise.
Due to this fact, job losses are an oblique results of how corporations combine AI and aren’t a direct impact of AI know-how alone.
This yr, 218 corporations all over the world laid off greater than 1.12 million workers. That is decrease than the 1.53 million, 2.64 million, and 1.65 million job cuts reported in 2024, 2023, and 2022, respectively. Nevertheless, the typical variety of workers laid off per firm has elevated from about 221 in 2023 to just about 517 in 2025.
The graph under reveals the variety of workers laid off worldwide (bars) and the variety of corporations concerned (strains) over the previous 4 years.
This means that whereas fewer corporations are shedding workers this yr, these which might be truly shedding workers are doing so in giant numbers suddenly. Many of those corporations are more likely to be high-tech corporations, usually make use of giant numbers of individuals, and infrequently rent and fireplace giant numbers of individuals. These corporations are additionally deeply concerned in AI transformation and are reshaping industries.
{Hardware} corporations like Intel and Lenovo accounted for 28% of all layoffs this yr, in line with business evaluation. This was adopted by retailers reminiscent of Amazon, eBay and Wayfair, which accounted for 14% of all layoffs. Gross sales (Salesforce) and shopper know-how (Meta, Google) accounted for 9% and seven% of all layoffs, respectively. The chart under reveals the proportion of workers laid off by business in 2025.
Consequently, knowledge reveals that AI expertise recruitment will enhance considerably in 2024 in comparison with international locations’ total adoption charges. The chart under reveals the relative year-over-year AI adoption fee by area. India leads the index with a relative AI adoption fee of over 33%, adopted by Brazil and Saudi Arabia.
Information additionally reveals that employees with AI expertise earn 56% greater than the typical wage. That is extra pronounced in sectors reminiscent of wholesale and retail commerce, power and data, and communications. The chart under reveals the distinction in common earnings by sector for employees with and with out AI expertise.
Increased wages for employees with AI expertise don’t essentially mirror a scarcity of such employees. Moderately, it displays the excessive worth employers place on these expertise.
Lately, international corporations have additionally elevated their funding in AI. In 2024, whole funding will enhance to $252.3 billion, nearly 13 occasions greater than ten years in the past.
The graph above reveals a broader pattern. With the explosion of AI-related jobs and elevated investments in know-how and payroll, corporations are actively reshaping their workforces to adapt to those adjustments.
Information for the chart comes from Stanford College’s 2025 Al Index, layoffs.fyi, and PwC’s 2025 International Al Employment Barometer.
issued – November 4, 2025 7:00 AM IST
