This report has been updated 5 times. Last updated on
- : Added 2026 AI-attributed job cut totals through August (116,175) and the monthly AI-cited cut series from Challenger, Gray & Christmas reports.
- : Added New York Fed survey data showing 4% of AI-using service firms in its regional business surveys laid off workers in response to AI over the past six months.
- : Added sections on tech-sector cuts, entry-level hiring, exposed occupations, unemployment by AI exposure and 2030 displacement forecasts.
US employers attributed 116,175 job cut announcements to AI so far this year, approximately 22% of all cuts, through August 2026, according to Challenger, Gray & Christmas. AI fell to the fourth-most cited reason with 3,462 cuts in August, its lowest monthly total since December 2025, ending a five-month run in which AI was the leading monthly reason. Measured AI job loss statistics paint a narrower picture.
Among firms using AI in New York Fed regional surveys, only 4% of service firms reported laying off workers in response to AI over the past six months, while Stanford Digital Economy Lab researchers, using ADP payroll data, find employment among workers ages 22 to 25 in highly AI-exposed occupations now stands about 19% below where it would be had it kept pace with less-exposed peers. The sections below separate announced artificial intelligence layoffs from measured displacement across tech-sector cuts, entry-level hiring, exposed occupations, and long-range forecasts.
Key Takeaways
- Through August 2026, among US employers, technology still accounts for 29% of all job cuts announced, more than any other industry.
- Through August 2026: Twenty of the 30 industries Challenger tracks have announced fewer cuts than they did at this point last year, that is, through August 2025.
- For US workers ages 22 to 25, Anthropic estimates a 14% drop in the job-finding rate compared to that in 2022 in the exposed occupations, although this is just barely statistically significant, and there is no such decrease for workers older than 25.
- Among firms using AI in New York Fed regional business surveys, about 15% of service firms said they had hired fewer workers than they would have if not for AI use.
- The unemployment rate for the top quintile of AI-exposed workers has risen by 0.77 percentage points since 2022, while the unemployment rate for the least-exposed workers rose slightly more, by 0.85 percentage points, in US IPUMS-CPS data, where quintile 1 is the least exposed, per Stanford SIEPR.
- Computer Programmers are at the top, with 75% coverage of their job tasks, weighted by the fraction of time spent on each task, in Anthropic’s observed exposure measure.
Editor’s Choice
- AI-cited US job cuts, 2026 through August: 116,175 job cut announcements.
- AI-cited job cuts in 2025: 54,836 announced layoff plans.
- AI-cited job cuts since tracking began: 184,538 job cut announcements through July 2026.
- US technology job cuts, 2026 through August: 155,126 cuts announced through August.
- WEF 2030 projection, not AI alone: global trends in technology, economy, demographics, and the green transition are projected to generate 170 million new jobs by 2030, while displacing 92 million others.
- US adults expecting fewer jobs from AI: 71% over the next two decades.
AI-Attributed Job Cuts in the US
- Compiled from 16 sources: 3 government, intergovernmental and company filings and 13 research, survey and industry reports.
- Dated sources run from January 2025 to September 2026. Figures appear as the original release states them, except for two calculations from Challenger’s own totals, each labeled where it appears.
- Announced-cut totals come from Challenger, Gray & Christmas’s monthly reports, and the page is reviewed on a rolling basis as sources publish new editions.
- Since 2023, when AI was first tracked as a distinct reason, it has been cited in 184,538 job cut announcements through July 2026.
- AI accounts for approximately 22% of all cuts, and it remains the leading reason year-to-date through August 2026.
Period | AI-cited job cuts |
|---|---|
2025 (full year) | 54,836 |
2026 through June | 101,743 |
2026 through July | 112,713 |
2026 through August | 116,175 |
2023 through 2025 (cumulative) | 71,825 |
Source: Challenger, Gray & Christmas reports, December 2025 to August 2026
How Many People Lost Jobs Due to AI?
AI has been responsible for 54,836 announced layoff plans in 2025, and AI has been cited in 116,175 job cut announcements through August 2026, per Challenger, Gray & Christmas. Those are employer-announced cuts that name AI as the reason, not a count of workers confirmed as replaced by software.
Monthly AI-Cited Job Cuts
- August’s AI-cited total was its lowest monthly total since December 2025.
- Computed from Challenger’s June and August totals, AI-cited cuts fell about 75% between June and August.
Recent Developments
- September 3, 2026: U.S.-based employers announced 52,881 job cuts in August, the lowest August total since 2022, per Challenger, Gray & Christmas.
- September 2026: Among firms using AI in New York Fed regional surveys, about 13% of service firms said they had hired more workers due to AI.
- August 18, 2026: Pew Research Center reported from its survey of US adults that, for the first time, a majority of adults under 30 (55%) now say they’re more concerned than excited about AI.
- August 2026: The Stanford Digital Economy Lab’s update, based on ADP payroll data, found the shortfall was 15% at the July 2025 data vintage and is about 19% as of June 2026 for workers ages 22 to 25 in highly AI-exposed occupations.
- July 22, 2026: monday.com initiated a restructuring plan to align its organizational structure with its strategic focus on the AI Work Platform, including a reduction of approximately 20% of its current workforce.
- July 2026: AI led all reasons for job cuts for the fifth consecutive month, according to Challenger, Gray & Christmas.
AI’s Share of US Job Cuts
- Restructuring led all reasons for job cuts in August with 16,173 announced during the month, or 31%.
- Market and Economic Conditions followed for the month with 15,260 cuts.
- August was the first month since February that Artificial Intelligence did not lead.
Total US Job Cuts in 2025 and 2026
- The 2025 total put annual job cuts at the highest level since 2020, when 2,304,755 cuts were announced.
- August cuts were down 38% from the 85,979 layoff plans announced in the same month last year.
- Cuts through July 2026 were down 41% from the cuts announced in the first seven months of 2025.
- Full-year 2025 cuts marked an increase of 58% over 2024.
- In Challenger’s July 2026 report, Andy Challenger said: “The pace of layoffs fell dramatically this summer.”
Period | Announced US job cuts |
|---|---|
2024 (full year) | 761,358 |
2025 (full year) | 1,206,374 |
January to July 2025 | 806,383 |
January to July 2026 | 477,033 |
Source: Challenger, Gray & Christmas reports, December 2025 and July 2026
Tech Industry Job Cuts and AI
- Technology announced 6,103 cuts in August, its lowest monthly total of 2026, for a year-to-date total of 155,126.
- Tech cuts through August are an increase of 52% from the 102,239 cuts announced in this sector through August 2025.
- Technology led in private-sector job cuts with 154,445 in 2025, an increase of 15% from 133,988 job cuts in this sector in 2024.
- Technology through August 2026 versus full-year 2025: That year-to-date total already tops the sector’s prior full-year total by a narrow 681 cuts, a comparison across two separate Challenger reports.
- In June, technology again led all sectors, announcing 15,503 job cuts in June for a total of 139,156 in 2026, an increase of 83% from the 76,214 cuts announced in this sector through June 2025.
Why it matters: In its December 2025 report, Challenger said “Technology has been pivoting to both developing and implementing artificial intelligence much more quickly than any other industry. This coupled with over-hiring over the last decade created a wave of job loss in the industry.” For tech workers, that ties the sector’s cuts to AI investment and past over-hiring together, not to AI alone.
How Layoffs Get Attributed to AI
- The ambiguous nature of what constitutes AI-attributed cuts was highlighted in July, according to Challenger, Gray & Christmas.
- Visa attributed its reduction to an efficiency push in which AI would reshape work, and Challenger categorized those cuts as AI.
- After the Montefiore cuts, the New York State Nurses Association filed a class-action grievance and stated the hospital was replacing human workers with AI software.
- monday.com expects to continue hiring in key strategic areas throughout 2026.
Announcement | Figure | What the employer or report said |
|---|---|---|
Visa workforce reduction | 7% | Tied to an efficiency push in which AI would reshape work |
monday.com workforce reduction | approximately 20% | Part of a restructuring around its AI Work Platform |
Montefiore utilization review nursing positions eliminated | 12 | Cut after adopting software from Datavant |
monday.com estimated net restructuring charges | approximately $45 to $55 million | Severance and office space impairment charges, partially offset by approximately $15 million in non-cash credits for share-based compensation |
Source: Challenger, Gray & Christmas July 2026 report; monday.com Form 6-K, July 2026
Entry-Level Workers and AI Hiring
- Experienced workers show no comparable gap, according to the Stanford Digital Economy Lab’s August 2026 update.
- The adjustment appears to operate primarily through reduced hiring of young workers rather than increased separations.
- Job-finding rates at the less exposed occupations remain stable at 2% per month, while entry into the most exposed jobs decreases by about half a percentage point, according to Anthropic’s Current Population Survey data from the U.S. Census Bureau on workers ages 22 to 25, whose chart compares occupations with high observed exposure against occupations with no AI exposure.
- In Pittwire’s account of a LinkedIn profile analysis by a University of Pittsburgh researcher and his team, recent graduates in AI-exposed fields spent almost a month longer job-hunting than their peers, changes that started in early 2022; rather than being a result of AI, his best guess is that the shifts have to do with interest rates.
- So far, adjustment is showing up primarily in employment rather than base pay.
Indicator | Value (%) | Source |
|---|---|---|
Employment shortfall, ages 22 to 25 in highly AI-exposed occupations, ADP payroll data (about) | 19 | Stanford Digital Economy Lab |
Drop in job-finding rate for US workers ages 22 to 25 in exposed occupations compared to 2022, just barely statistically significant; no such decrease for workers older than 25 | 14 | Anthropic |
Salary loss for recent graduates in LinkedIn profile data; the change began in early 2022, before ChatGPT, and the researcher’s best guess is interest rates rather than AI | 16 | University of Pittsburgh |
Source: Stanford Digital Economy Lab 2026, Anthropic, University of Pittsburgh 2026
Key finding: The Stanford Digital Economy Lab reports that the declines are concentrated in occupations where AI usage tends to automate human tasks. In occupations where AI is used more to complement workers, employment is flat or rising, particularly among more experienced workers. The pressure lands on automation-heavy entry roles rather than on every job AI touches.
Occupations Most Exposed to AI
- Exposure among women continues to be significantly higher, according to the ILO.
- Anthropic ranks Customer Service Representatives second, describing their main tasks as ones “we increasingly see in first-party API traffic.”
- The ILO index measures potential exposure to generative AI, not confirmed job losses.
- Anthropic’s measure draws on observed Claude usage, a narrower lens than general technology usage surveys.
What Jobs Will AI Eliminate?
In Anthropic’s observed exposure measure, which averages each occupation’s task coverage weighted by the fraction of time spent on each task, Computer Programmers are at the top, with 75% coverage, followed by Customer Service Representatives, while Data Entry Keyers are 67% covered. High coverage signals exposure to automation, not a confirmed job cut.
How Companies Are Adjusting Workforces for AI
- Among firms using AI in the New York Fed’s regional business surveys a year earlier, just 1% of service firms reported laying off workers in response to AI, and 12% reported hiring fewer workers than they would have if not for AI use.
- No manufacturers reported layoffs this year or last year in response to AI, covering the New York Fed’s 2026 and 2025 regional business survey rounds.
- A handful of manufacturers reported hiring fewer workers due to AI, compared to none last year, that is, in the New York Fed’s 2025 survey round.
- Globally, 41% plan to reduce their workforce as AI automates certain tasks, while 77% of employers plan to upskill workers, per the World Economic Forum.
- Almost half of employers expect to transition staff from roles exposed to AI disruption into other parts of their business.
- Company-side AI use across onboarding and retention is broken out in the AI in HR statistics.
Unemployment Among AI-Exposed Workers
- These aggregate trends suggest a broadly softening labor market, rather than one characterized by AI-driven job losses, according to a Stanford SIEPR policy brief.
- Stanford Digital Economy Lab researchers write: “We do not see widespread, economy-wide job displacement associated with AI.”
- Both layoffs and hires have been low, the Budget Lab at Yale notes.
Measure | Value |
|---|---|
US unemployment rate change since 2022, top AI-exposure quintile | +0.77 percentage points |
US unemployment rate change since 2022, bottom (least-exposed) quintile | +0.85 percentage points |
US unemployment rate, April 2023 | 3.4% |
US unemployment rate, March 2026 | 4.3% |
US unemployment rate increase if AI adoption takes a decade | 0.6 percentage point |
Source: Stanford SIEPR, The Budget Lab at Yale 2026, Goldman Sachs Research
Worth noting: Stanford SIEPR finds that unemployment among workers in occupations most exposed to AI-driven disruption is rising, but not faster than among those least exposed. Stanford Digital Economy Lab data add that the adjustment appears to operate primarily through reduced hiring of young workers rather than increased separations. Layoff counts alone miss that channel.
How Much Unemployment Is Caused by AI?
The unemployment rate for the top quintile of AI-exposed workers has risen by 0.77 percentage points since 2022, while the unemployment rate for the least-exposed workers rose slightly more, per SIEPR’s analysis of US IPUMS-CPS data by AI-exposure quintile. For the US, if AI adoption takes a decade, Goldman Sachs Research expects to see a 0.6 percentage point increase in the unemployment rate.
Job Displacement Forecasts for 2030 and the Next Decade
- In Goldman Sachs Research’s base case for the US labor market, the timeline for firms to adopt AI on a wide scale is around 10 years, and 6-7% of workers will be displaced during that transition period.
- The World Economic Forum projects that global trends in technology, economy, demographics and the green transition, rather than AI alone, will generate 170 million new jobs by 2030, while displacing 92 million others.
- If the transition is more frontloaded, the impacts on the economy are much larger, according to Goldman Sachs Research’s Briggs.
- New-role demand from the same shift is covered in the AI job creation statistics.
Forecast | Figure | Source |
|---|---|---|
New jobs projected worldwide by 2030, not AI alone | 170 million | World Economic Forum |
Jobs projected to be displaced worldwide by 2030, not AI alone | 92 million | World Economic Forum |
US workers displaced during wide AI adoption, base case | 6-7% | Goldman Sachs Research |
Source: World Economic Forum Future of Jobs Report 2025, Goldman Sachs Research
How Many Jobs Will Be Lost to AI by 2030?
According to the World Economic Forum, shifting global trends in technology, economy, demographics, and the green transition are projected to generate 170 million new jobs by 2030, while displacing 92 million others. That projection spans those four trend groups, not AI by itself.
Public Concern About AI Job Loss
- The share of US adults who expect AI to mean fewer jobs over the next two decades is up from 64% in 2024, per Pew Research Center.
- Pew fielded the survey June 22-28, 2026.
- In Challenger’s July 2026 report, which counts announced hiring plans, Andy Challenger added: “Hiring has also increased over last year by 25%, so while AI is shifting the labor market, it is not dismantling it.”
- Public sentiment reads more negative than the measured labor data.
Is There a Connection Between AI and Job Loss?
Yes, though the measured link is narrower than layoff announcements suggest. Among firms using AI in New York Fed regional business surveys, about 15% of service firms said they had hired fewer workers than they would have if not for AI use, compared with only 4% that reported laying off workers in response to AI over the past six months.
Stanford researchers add that the adjustment appears to operate primarily through reduced hiring of young workers rather than increased separations, and Stanford SIEPR concludes that these aggregate trends suggest a broadly softening labor market, rather than one characterized by AI-driven job losses.
Conclusion
The latest AI job loss statistics show US employers citing AI in 116,175 job cut announcements, approximately 22% of all cuts through August 2026, according to Challenger, Gray & Christmas, while so far in 2026 technology still accounts for 29% of all job cuts announced, more than any other industry. Measured data point elsewhere: among firms using AI in New York Fed regional business surveys, only 4% of service firms reported laying off workers in response to AI over the past six months. The clearer signal sits in slower hiring of young workers.
Entry-level applicants and hiring managers gain the most from tracking hiring data besides layoff counts, starting with Challenger’s next monthly reason table and Stanford’s next data vintage.
