It started as a joke that AI will take human jobs, but now we are seeing it as a reality. We are seeing a trend where financially viable companies are laying off workers en masse because AI can allegedly perform the job more efficiently.
These days, AI can write efficient code, manage customer complaints, generate content, and do so much more.
Around 2023, the conversation around AI became louder, but it still felt distant. The memes of Will Smith eating spaghetti weren’t as realistic; we could all tell it was AI. But now, we cannot even differentiate between AI and real-life images and videos, not to mention the massive layoffs. 
Companies That’ve Laid People Off Due to AI
Let’s get into the companies where there have been massive layoffs:
1. Google
Google has been on a job-cutting spree since 2025. The goal has been to focus on AI investments.
In 2025, there were substantial cuts that affected over 35% of small-team managers and eliminated hundreds of positions in Cloud, hardware, and search. Now in 2026, 98 jobs at the company’s headquarters, 16 positions in Palo Alto, and four remote California roles have been cut.
2. Meta
In October 2025, Meta laid off around 600 employees from its AI division, “Superintelligence Labs,” comprising about 20% of the unit. According to an internal memo posted on Reddit, Meta plans to reduce its total workforce by at least one-third over the next three years to enhance productivity and cut costs, with a strategy to replace human roles with AI and reassign current staff to manage AI tools.
3. Pinterest
Pinterest plans to lay off about 15% of its workforce in 2026, affecting around 700 to 750 employees, as part of a strategic shift to focus on artificial intelligence (AI) development for better ad targeting and product features.
4. Amazon
Amazon has broken a record, but not a good one: the largest layoff in history. 16,000 corporate staff lost their jobs in different divisions like Prime Video, AWS, and retail. The reason is to reduce bureaucracy and to use AI efficiency to reduce costs.
5. Duolingo
In January 2024, Duolingo reduced its contractor workforce by 10% as it moves towards AI-based content generation. In April 2025, CEO Luis von Ahn declared the company would adopt an “AI-first” approach, phasing out contractors for tasks like content creation and translation that AI could manage.
6. Twitch
Amazon-owned Twitch laid off over 500 employees, representing roughly 35% of its staff, to “rightsize” the organisation. This followed previous layoffs in 2023, totalling nearly 50% of the workforce reduced in 12 months.
CEO Dan Clancy cited unsustainable operating costs and lower-than-expected revenue growth.
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7. HP
HP has been reducing its corporate workforce due to AI innovation. It even plans to cut 4,000 to 6,000 jobs by the end of 2028, saving the company an estimated $1 billion.
8. IBM
Arvind Krishna, CEO of IBM, told the Wall Street Journal that the company replaced hundreds of human resources staff with AI and plans to cut thousands of jobs in Q4 2025. The shift in priorities focuses on recruiting more people who are knowledgeable in AI and quantum technology. The company wants to move into a single-digit workforce.
9. Fiverr
Micha Kaufman, CEO of Fiverr, announced a 30% workforce reduction in September 2024, impacting about 250 employees out of 762 full-time staff. The cuts aim to transform Fiverr into a more efficient “AI-first company.” Kaufman even said future hires would require AI proficiency.
10. Discord
In 2024, Discord laid off 17 per cent of its staff, which is 170 people. The CEO, Jason Citron, said it was to “sharpen our focus and improve the way we work together.” He also told The Verge that the staff had grown much bigger than is required for efficiency.
11.Block
This payments company is co-owned by former Twitter (X) CEO Jack Dorsey. He reduced the workforce by nearly half, from 10,000 to 6,000 employees, affecting more than 4,000 people.
In his statement, posted on Twitter, he said: “Despite strong growth in gross profit and profitability, we recognise a shift in operational dynamics due to our intelligence tools and the emergence of smaller, flatter teams, fundamentally altering our approach to company management.”
What This All Means
This signals that the workforce is changing; many companies are prioritising smaller teams and using AI to supplement people. If you are job hunting, this is not good news.
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