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Tech NewsNov 2, 2025, 01:37 PM · 6 min read

AI Layoffs 2025: Over 112,000 Tech Jobs Lost as Automation Reshapes the Industry

AI Layoffs 2025: Over 112,000 Tech Jobs Lost as Automation Reshapes the Industry

"The 2025 wave of tech layoffs has surpassed 112,000 jobs across 218 companies, driven by AI automation, restructuring, and economic pressure. Here’s what’s really happening."

The 2025 Tech Layoff Wave Explained

In 2025, the global tech industry faced one of its toughest years. Over 112,000 employees have been laid off across 218 major companies, according to Layoffs.fyi. The main reasons? Rapid AI automation, global restructuring, and rising cost pressures. As businesses race to adapt, thousands of workers are caught in the middle of this transformation.

When Did the Layoffs Start and How Big Is the Impact?

The layoffs began intensifying in early 2025, peaking in February and April. By November, over 112,700 jobs were gone — averaging around 627 job cuts every single day. The following table highlights the key months and job cut totals:

MonthEstimated Job Cuts
February 202516,084
April 202524,500
Total (as of Nov 2025)112,700+

Which Companies Are Leading the 2025 Layoffs?

Some of the biggest names in tech have carried out mass layoffs to restructure and invest in AI and automation.

Intel

Intel made the largest cuts, removing about 24,000 jobs — roughly 22% of its workforce. The move is part of a $17 billion cost-saving plan led by CEO Lip-Bu Tan to shift focus toward AI and chip manufacturing.

Amazon

Amazon eliminated between 14,000 and 30,000 roles across AWS, HR, and devices. Insiders attribute this to both overexpansion during the pandemic and new AI-driven operational strategies.

TCS (Tata Consultancy Services)

TCS reduced 19,755 positions in Q3 2025, marking its first major headcount drop since 2022. The company targeted mid- to senior-level employees while increasing pressure on skill-based performance.

Microsoft and Salesforce

Microsoft cut 9,000 employees, citing a shift to cloud and AI investments. Salesforce followed with 4,000 layoffs as automation tools like chatbots took over customer service operations.

Other Companies

  • UPS: 48,000 jobs cut due to logistics automation.
  • Ford: Up to 13,000 layoffs linked to EV restructuring.
  • PwC: 5,600 roles removed amid digitization of audit and tax functions.
  • Meta, Accenture, and Nestle also made notable workforce reductions.

Why Are These Layoffs Happening?

The layoffs stem from three major forces reshaping the tech world.

  • AI Automation: Tools like Microsoft Copilot and Google Gemini are replacing traditional support and data roles at scale.
  • Skill Gaps: Many professionals struggle to adapt to new AI-based workflows, making reskilling urgent.
  • Economic Pressure: Inflation, supply chain issues, and overexpansion from the pandemic era forced cost-cutting measures.

How Are Companies and Employees Responding?

Most tech firms are balancing layoffs with severance benefits and limited internal mobility options. For instance, TCS offers career counseling and 90-day internal transfer windows, while Amazon provides reskilling opportunities. Governments and unions are pushing for greater oversight as workforce morale continues to decline globally.

The Situation in India

India’s IT sector has been hit especially hard. Companies like TCS, Wipro, and Infosys reported historic job cuts, particularly in metropolitan and Tier-2 cities. Despite the losses, India’s AI market is projected to reach $17 billion by 2027, signaling long-term growth if workers can upskill effectively.

What Can Professionals Do Next?

For those affected, resources like Layoffs.fyi Layoff List and professional communities on LinkedIn have become vital networking hubs. Learning AI, data analytics, and automation tools is now essential for future employability.

FAQs

1. Which industries are most affected by AI layoffs?

Technology, consulting, logistics, and manufacturing have seen the highest job losses due to AI automation and digital restructuring.

2. Are AI layoffs permanent?

Not necessarily. While some roles disappear, new positions in AI development, data management, and automation engineering are emerging rapidly.

3. How can employees prepare for the AI transition?

Upskilling in generative AI, coding, cloud platforms, and data visualization will help professionals stay relevant in this changing job landscape.

References

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