AI-Driven Layoffs Sweep Across US Industries in 2025

Microsoft, The Washington Post, BlackRock: Full list of major US companies laying off staff in the new year

While the US economy recovers from the shock of the coronavirus pandemic, experts have warned that not everyone will have job security in 2025. Major US companies such as Amazon, Microsoft, The Washington Post, BlackRock, Ally and others are most likely to lay off their employees in 2025. According to a World Economic Forum survey, 41% of global companies anticipate reducing their workforces over the next five years due to the rise of AI.In the United States, layoffs and other workforce reductions are going to continue in 2025 following two years of significant job cuts across tech, media, finance, manufacturing, retail and others. A report in Business Insider reveals various companies are citing multiple reasons for these layoffs with a noticeable from technological advancements specifically artificial intelligence (AI). While companies' reasons for slimming their staff vary, the cost-cutting measures are coming amid a backdrop of technological change. In a recent World Economic Forum survey, some 41% of companies worldwide said they were expecting to reduce their workforces over the next five years because of the rise of artificial intelligence, the report suggests. ALSO READ: 'Thousands of layoffs' in 2025: Here're the reason that may drive a wave of job losses across US? Companies such as Dropbox, Google, and IBM have previously announced job cuts related to AI. Tech jobs in big data, fintech, and AI are meanwhile expected to double by 2030, according to the WEF. Here are the companies with job cuts planned or already underway in 2025 so far: -Microsoft: In 2025, Satya Nadella-led company Microsoft is likely to fire its 'underperforming employees' across various departments, including its security divisions. The move is part of the company's updated performance management strategy, aligning with similar actions by other tech giants. The layoffs follow months of evaluations by managers, scrutinising employees at all levels, including senior positions. The cuts are expected to be widespread, impacting several departments, with the security division reportedly among those affected. "At Microsoft we focus on high performance talent," the spokesperson was quoted as saying. "We are always working on helping people learn and grow. When people are not performing, we take the appropriate action," the spokesperson told Business Insider. Despite the layoffs, vacated roles are often refilled, suggesting Microsoft's overall workforce, which stood at 228,000 full-time employees in June 2024, may not see a significant reduction. -BlackRock: BlackRock told employees it was planning to cut about 200 people of its 21,000-strong workforce, according to Bloomberg.The reductions are more than offset by some 3,750 workers who were added last year and another 2,000 expected to be added in 2025. BlackRock's president, Rob Kapito, and its chief operating officer, Rob Goldstein, said the cuts would help realign the firm's resources with its strategy, Bloomberg reported. ALSO READ: Why Microsoft layoffs across Satya Nadella-led company won't bring a change in total headcount -Bridgewater has cut about 90 staff: Bridgewater Associates cut 7 percent of its staff on Monday in an effort to stay lean, a person familiar with the matter told Business Insider. The layoffs at the world's largest hedge fund bring its head count back to where it was in 2023, the person said. The company's founder, Ray Dalio, said in a 2019 interview that about 30% of new employees were leaving the firm within 18 months. -Washington Post: The Washington Post said on Tuesday it would lay off about 4% of its workforce or less than 100 employees in a bid to cut costs, as the storied newspaper grapples with growing losses, reported Reuters. The newspaper is making changes across several business functions, a spokesperson said, while suggesting the job cuts will not impact its newsroom. The Post has seen a decline its digital readership and reported a $77 million loss in 2023. The newspaper, owned by Amazon founder Jeff Bezos, is among many news outlets struggling to maintain a sustainable business model in the decades since the internet upended the economics of journalism and caused a sharp decline in digital advertising rates. The Associated Press also said in November it would lay off about 8% of its workforce. ALSO READ: Trump's threat to make Canada the 51st state a distraction from tariff impact? Trudeau calls him 'skillful negotiator' -Ally: The digital-financial-services company Ally is laying off roughly 500 of its 11,000 employees, a spokesperson confirmed to BI. The impacted employees were notified on Tuesday. "As we continue to right-size our company, we made the difficult decision to selectively reduce our workforce in some areas, while continuing to hire in our other areas of our business," the spokesperson said. The spokesperson also said the company was offering severance, out-placement support, and the opportunity to apply for openings at Ally. Ally made a similar level of cuts in October 2023, the Charlotte Observer reported. -Amazon: Last year, Amazon CEO Andy Jassy announced that the tech giant will will cut approximately 14,000 manager positions to increase the ratio of individual contributors to managers by at least 15% by the end of Q1 2025. According to Morgan Stanley analysis, this move is expected to help Amazon save up to $3 billion annually. It is part of Jassy's strategy to enhance operational efficiency by adjusting the management structure. As a result, there may be unease among employees; however, the company has clarified that the CEO's plan will affect far fewer managers than initially anticipated. Additionally, a report by The Information states that the layoffs will apply only to corporate employees. Out of more than 1.5 million global employees, nearly 350,000 hold corporate roles, including those in engineering, marketing, and product management. ALSO READ: UK grooming scandal: Elon Musk wonders why there is no 'Hinduphobia' Major firms like Amazon, Boeing, and budget airline Spirit Airlines have revealed layoffs that would affect staff in 2025. While the actual number of job layoffs in the United States in 2024 is unknown, it is expected that it will be lower than in 2023, when layoffs increased by 98% in 2022, owing to improved economic conditions, according to a HT report.

It's just been 9 days in 2025, and thousands have already lost their jobs in the U.S.; from technology to media, here are the top companies sacking people

Job cuts continue to be on a rise during the beginning of the year 2025 as well as latest reports suggest that major companies like Microsoft, BlackRock, Ally and many other continues to sack significant amount of employees. Workforce reductions continue into the year 2025 across various industries while following significant job cuts in recent years. According to Business Insider, various companies are citing diverse reasons for these layoffs with a notable influence from technological advancements specifically artificial intelligence (AI). According to a World Economic Forum survey, 41% of global companies anticipate reducing their workforces over the next five years due to the rise of AI. Business Insider reported that several major firms have already announced job cuts this year while BlackRock is reducing its workforce by about 200 employees representing 1% of its staff, at the same time, Bridgewater Associates has also cut 7% of its workforce and brought back its numbers back to 2023 levels. Additionally, the Washington Post is also eliminating less than 100 positions in non-newsroom areas to streamline all of its operations. During such times, Microsoft is also planning unspecified cuts while focusing on underperforming employees. Ally Financial is laying off approximately 500 employees or nearly less than 5% of its workforce as a part of its strategic right sizing effort, noted Business Insider. These layoffs actually reflect broader trends in the tech and finance sectors where companies are eventually adjusting to economic pressures and technological shifts. In spite of these cuts, the WEF predicts that tech jobs in areas like AI and big data will double by the year 2030 while indicating a shift in the job landscape as new roles emerge while others become obsolete, asserted Business Insider. According to a World Economic Forum survey, 41% of global companies anticipate reducing their workforces over the next five years due to the rise of AI. The Washington Post is eliminating less than 100 positions in non-newsroom areas to streamline all of its operations.

'Thousands of layoffs' in 2025: Here're the reason that may drive a wave of job losses across US?

As 2025 unfolds, layoffs continue across key industries, with technology and clerical roles most affected by automation and economic restructuring. Companies like Amazon, Boeing, and Spirit Airlines have announced job cuts, reflecting broader challenges in the labour market. While artificial intelligence displaces certain roles, it also transforms industries and creates new opportunities in tech and green energy sectors. Experts highlight the potential influence of the incoming U.S. administration on employment policies and corporate strategies, offering hope for stabilisation amid ongoing challenges.The U.S. economy's recovery from the pandemic continues, but job security remains elusive for many. As of January 2025, industries including technology, aviation, and retail have been hit by significant layoffs. Major firms like Amazon, Boeing, and Spirit Airlines have announced staff reductions that will extend into this year. According to a report from Challenger, Gray & Christmas Inc., November 2024 saw 57,727 job cuts, a 3.8% increase compared to October. The technology sector led the way, with 429,608 people affected throughout 2024, according to layoff tracker True Up. Eric Brown, CEO of Imperio Consulting, explained the situation: "Tech and consumer-focused sectors often feel the brunt of market volatility first. When budgets shrink, businesses curb spending on new tools and marketing. Companies with direct exposure to tight capital markets are more likely to see employees facing the chop." Artificial intelligence continues to play a transformative role in reshaping the labour market. Research conducted by Resume Templates in August 2024 found that three in ten companies replaced workers with AI last year, and this trend is expected to grow in 2025, with 38% of firms using AI likely to automate roles. Tomasz Noetzel, a senior analyst at Bloomberg Intelligence, noted: "Any jobs involving routine, repetitive tasks are at risk." He added that back-office, middle-office, and customer service roles are particularly vulnerable, although AI is expected to transform rather than entirely eliminate these jobs. Jamie Dimon, CEO of JPMorgan, commented on AI's broader impact, saying: "AI is likely to make dramatic improvements in workers' quality of life, even if it eliminates some positions." In 2024, major technology companies such as Google and Meta began workforce realignments to prioritise artificial intelligence initiatives. This trend is expected to extend into 2025, reflecting broader industry shifts. At the same time, roles in green energy and sustainability are emerging as significant growth areas. The World Economic Forum's Future of Jobs Report highlights the rise of positions like Renewable Energy Engineers, Environmental Specialists, and Autonomous Vehicle Technicians. Meanwhile, clerical roles such as cashiers, bank tellers, and postal workers are anticipated to see the steepest declines. The incoming Trump administration may have a significant impact on the job market in 2025. Stephanie Alston, CEO of BGG Enterprises, remarked: "A potential shift in administration following the 2024 elections could also influence the labour market. Policies on taxation, regulation, and business incentives will play a key role in shaping corporate strategies." Eric Brown added: "A new administration can trigger changes in fiscal policy, regulation, and trade. If the incoming government boosts business confidence, firms might hold onto staff longer. On the other hand, policy uncertainty or sudden shifts in regulation can lead businesses to slash costs." The backdrop of these layoffs lies in the economic adjustments post-pandemic. Job cuts rose sharply in 2023, with a 98% increase from 2022, before tapering off slightly in 2024. Despite this, automation and AI adoption have continued to accelerate workforce changes across sectors. In banking, Bloomberg Intelligence predicts that global banks may cut as many as 200,000 jobs over the next three to five years due to AI's encroachment on roles like data entry and compliance. Yet, AI adoption isn't entirely negative. Teresa Heitsenrether, leading JPMorgan's AI initiatives, stated that AI has so far been augmenting roles rather than replacing them outright. Despite challenges, some positive signs are emerging. By late December 2024, unemployment claims in the U.S. had dropped to their lowest levels since April, indicating underlying resilience in the labour market. Experts suggest that workforce restructuring in 2024 might have mitigated the scale of layoffs in 2025. Brown concluded: "We may still see layoffs in 2025, but they might not match the scale of 2024. Some companies have already adjusted their workforces to prepare for market shifts, and others could tighten their belts if forecasts remain negative." The future of the labour market will depend on how businesses adapt to technological advancements, economic recovery, and government policies in the months ahead.