AI-Driven Job Cuts: Major Companies Restructuring Workforce

Feb 21, 2026

85 min

Feb 21, 2026 02:30

AI job cuts: The 8 major companies replacing humans with bots

## AI's Impact on Employment

Artificial intelligence is reshaping the workforce landscape, with several major companies already implementing significant job cuts. The trend is not just a future prediction but a current reality, as businesses integrate AI technologies to streamline operations.

## Companies Leading the Shift

Klarna, a leader in the buy-now-pay-later sector, has reduced its workforce from 7,000 to about 3,000, with plans to cut further by 2030. The company uses AI to manage tasks equivalent to 700 full-time jobs.

UPS announced a reduction of 20,000 positions in 2025, attributing the cuts to advancements in machine learning that automate tasks previously handled by human teams.

Duolingo, focusing on AI for content creation and other tasks, has cut 10% of its contractor workforce, though permanent staff remain unaffected.

HP plans to eliminate up to 6,000 jobs by 2028, linking this decision to AI adoption in product development and customer support.

IBM has been transparent about its AI-driven changes, replacing thousands of HR roles with automated systems.

Amazon is cutting 16,000 jobs in 2026, following a previous reduction of 14,000 roles, as it embraces AI to enhance efficiency.

Salesforce has reduced its support staff from 9,000 to 5,000, with AI agents now handling many customer service tasks.

Dropbox cut 20% of its workforce in 2024, focusing on building a leaner team with an emphasis on AI.

## The Future of Work

These developments highlight a significant shift in how companies operate, with AI playing a central role in reducing costs and increasing efficiency. As AI continues to evolve, the impact on the job market is expected to grow, prompting discussions about the future of work and the skills needed in an AI-driven economy.

Read the full story at the source

What you need to know to get Emirates ID?

Leave your details and get a guide as a gift to avoid mistakes

Article contents