As we all know, artificial intelligence (AI) is changing the way we work around the world. In 2025, its impact on tech employees has been both exciting and concerning. On one hand, AI and machine learning tools are helping workers complete tasks faster and smarter, boosting productivity like never before. On the other hand, the rapid rise of automation is replacing human roles, creating uncertainty in the job market.
This year, layoffs have become a major trend, with several big companies like Amazon, Microsoft, IBM, Salesforce and more are cutting thousands of jobs due to the growing use of AI. Moreover, the big tech firms like Google, CrowdStrike, Meta, and others have continued with smaller, steady cuts across the year. Hence, the employers are now facing the challenge of adapting to this new reality.
According to Layoffs.fyi, so far this year, 122,549 tech employees have lost their jobs across 257 technology companies. Out of these, more than 54,000 job cuts in the US are directly linked to the rise of AI. Let’s have a quick look on the big tech firms that directly connected layoffs to the adoption of AI.
Microsoft
Microsoft has reportedly cut a total of 15,000 jobs in 2025. In its latest announcement in July, the company said it would eliminate 9,000 positions, which is about four percent of its global workforce.
Earlier, in May, Microsoft laid off over 6,000 employees, followed by around 300 more in June. This is the company’s second largest round of mass layoffs, after it cut nearly 18,000 jobs in 2014. The layoffs affected workers across different countries and experience levels. Even Microsoft’s gaming division, including Xbox, was impacted.
Amazon
In October this year, e-commerce giant Amazon announced it will lay off at least 14,000 employees, with more cuts expected next year. Around 1,000 workers in India are likely to be affected. These layoffs, part of a wider trend, give an early look at how AI is affecting workforces in 2025.
Salesforce
Salesforce cut about 4,000 customer service jobs this year. Executives said AI agents are now handling much of the customer support work. CEO Marc Benioff confirmed these layoffs in September. Salesforce CEO Marc Benioff had revealed over the summer that AI was already doing up to 50% of the work at the company.
Global Tech Giant IBM
In November 2025, IBM announced it will lay off thousands of employees before the year ends. The company said the job cuts would be a “low single-digit percentage” of its global workforce. With around 270,000 employees worldwide, even a one percent reduction could mean at least 2,700 jobs lost.
Cybersecurity Firm CrowdStrike
In May 2025, cybersecurity company CrowdStrike announced it would lay off about 5 percent of its workforce, around 500 employees. The company said AI was the main reason for these job cuts.
Intel
Intel, a major American multinational technology company, has announced it will cut up to 24,000 jobs by the end of 2025 as part of a major restructuring driven by AI and automation. Language learning app Duolingo also said it will reduce contractors, pointing to AI taking over tasks that humans used to do.
TCS
IT firm TCS laid off 12,000 employees, about 2 percent of its global workforce. The job cuts mainly affected mid- and senior-level staff. The company said the move was aimed at creating a future-ready workforce through reskilling and redeployment.
