Archive · 14 Jan 2026
AI Reshaping Hiring and Job Cuts
Companies are using more AI, which is changing how they hire and fire people.
AI is taking over routine jobs, so companies are looking for people with AI skills.
This means more people are being laid off in some areas, like hardware and retail, while others, like AI talent, are in high demand.
In 2025, the number of layoffs per company went up, even though the total number of layoffs went down.
Countries like India are seeing a lot of AI hiring and wage growth in AI-related jobs.
However, there's also a lot of competition to keep AI talent, with many people moving to other countries for AI jobs.
AI adoption is restructuring labor demand across sectors, with a focus on AI-specific skills.
Geoffrey Hinton warns of massive job cuts as early as 2026, particularly in roles exposed to automation.
Global tech layoffs declined in numbers in 2025, but the average number of employees laid off per company increased sharply.
Layoffs are no longer confined to software and IT services, with hardware and retail sectors also affected.
AI talent recruitments grew fastest in India in 2024, with wage growth of nearly 17% in AI-exposed industries since 2018.
- Who
- Companies integrating AI, particularly technology firms
- What
- AI adoption is restructuring labor demand and reshaping hiring and layoff patterns
- When
- Ongoing, with projected job cuts as early as 2026
- Where
- Global, with specific impacts in India and other countries
- Why
- AI is replacing routine roles and increasing efficiency gains
- AI Pioneer Warning
- Geoffrey Hinton
- Projected Job Cuts
- As early as 2026
- Global Tech Layoffs Trend
- Declined in numbers in 2025, but average layoffs per company increased
- Average Layoffs per Company
- From 221 in 2023 to 517 in 2025
- Sectors Most Affected by Layoffs
- Hardware (31%), Retail, Consumer-oriented sectors
- AI Talent Recruitment Growth
- Fastest in India in 2024
- Wage Growth in AI-Exposed Industries
- 17% since 2018
- AI Skill Penetration
- Highest in India
- Net AI Talent Flows
- Outflows from India in 2024
Sources
Zoho Leaders Warn AI Is Pushing Tech Toward a Job-Light Future
Indian Techie With 5 Years Experience Quitting Industry: 'AI Has Gotten Good'
AI Changes Who Gets Hired And Fired
'97% Of Indian Tech HR Leaders Predict Human-AI Collaboration By 2027: Nasscom-Indeed Report