Top 10 AI Layoffs Stories

👀 Top companies like Amazon, IBM, Workday, and Salesforce 👀

November 08, 2025

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Hi everyone,

It’s Saturday! For the special edition, we’re recapping all the stories where AI has directly caused layoffs, for major companies like Chegg, Fiverr, and Amazon, showcasing the growing pains of automation in the workforce.

As always, check out our sponsors Neurons AI, Roku, Guidde.

Let’s get right into it.

In this issue:

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🤿 DEEP DIVE

Top 10 AI Layoffs New Stories

  • Chegg: Education tech firm Chegg cut 388 employees (~45% of its workforce) in October 2025, blaming the “new realities of AI” (e.g. students turning to tools like ChatGPT) which led to plummeting user traffic and revenue. Link

  • Fiverr: Freelance marketplace Fiverr laid off 250 employees (about 30% of staff) in September 2025 as part of an “AI-first” restructuring. Link

  • Amazon: In October 2025, Amazon announced 14,000 corporate job cuts (with reports it could expand up to 30,000) in a major shake-up driven in part by AI adoption. Link

  • Recruit Holdings: In July 2025, Recruit (owner of job sites Indeed and Glassdoor) cut 1,300 jobs (~6% of its workforce) amid a strategic pivot toward AI-powered hiring tools. Link

  • IBM: IBM confirmed in November 2025 that it will eliminate a “low single-digit percentage” of its global staff (potentially several thousand jobs out of ~270,000) as it shifts focus to high-margin software and cloud services amid the AI boom. Link

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🤿 DEEP DIVE

Top 10 AI Layoffs New Stories (continued)

  • Salesforce: Salesforce CEO Marc Benioff revealed in September 2025 that the company quietly cut ~4,000 customer support jobs (reducing that team from 9,000 to 5,000 people) thanks to new AI “support agents” automating those tasks. Link

  • Tata Consultancy Services: In August 2025, India’s largest IT outsourcer TCS initiated its biggest-ever layoffs: over 12,000 jobs (about 2% of its workforce) cut due to an AI-driven productivity shift. Link

  • Lufthansa: The German airline group announced in Sept 2025 that it will eliminate about 4,000 administrative jobs by 2030 as it embraces digitalization and AI to boost efficiency. Link

  • Insider: In May 2025, digital media company Insider laid off 21% of its staff (estimated ~100 employees) and pointed to generative AI as a culprit. Link

  • Workday: Cloud HR software maker Workday announced in February 2025 a layoff of 1,750 employees (8.5% of its workforce) specifically to refocus on AI. Link

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