Stock Markets February 27, 2026

Companies Announce AI-Linked Job Reductions as Investors Eye Labor Impact

Goldman Sachs flags potential rise in U.S. unemployment amid mounting layoffs in industries exposed to automation

By Nina Shah
Companies Announce AI-Linked Job Reductions as Investors Eye Labor Impact

Goldman Sachs economists warned in February that faster adoption of artificial intelligence could lift U.S. unemployment this year. They estimated AI was linked to 5,000-10,000 net job losses per month last year in the most exposed U.S. industries and said AI accounted for 7% of planned layoffs in January. Since October, a range of global firms have disclosed AI-linked workforce reductions, from Amazon's 16,000 to several companies that did not specify numbers.

Key Points

  • Goldman Sachs warned in February that faster AI adoption could push U.S. unemployment higher this year; its economists estimated AI caused 5,000-10,000 net monthly job losses last year in the most exposed U.S. industries and accounted for 7% of planned layoffs in January.
  • Since October, multiple global firms have announced workforce reductions linked to AI or automation, ranging from Amazon's 16,000 roles to several companies that did not specify headcounts.
  • The reductions span sectors including technology, manufacturing, retail, financial services and insurance as companies cite AI, automation, cloud transitions and operational efficiency as drivers.

Concerns that artificial intelligence will reshape labor markets are rising among investors and economists. In a February note, Goldman Sachs said accelerating AI adoption could push U.S. unemployment higher during the year. Goldman economists placed the technology's contribution to job losses in the most automation-exposed U.S. industries at roughly 5,000 to 10,000 net positions per month last year, and estimated AI was behind 7% of total planned layoffs in January.

Below is a compiled list of global layoffs publicly linked to AI announced since October, organized from largest to smallest disclosed reductions. Where companies did not provide a specific figure, those entries are listed at the end.

Company Month Job Cuts Notes
Amazon January 16,000 Corporate job cuts; AI- and efficiency-driven overhaul.
HP Inc November 4,000-6,000 Global cuts by end-2028; AI and operational streamlining.
Mizuho February Up to 5,000 Cuts over 10 years; long-term AI-driven streamlining plan.
Dow January 4,500 13% of workforce; automation and AI streamlining.
Block February >4,000 Nearly half itsworkforce; AI-focused restructuring.
SEB February Up to 2,100 Cuts by end-2027; restructuring to leverage AI.
Wisetech February 2,000 One-third of global workforce; AIintegration.
Allianz November Up to 1,800 Travel insurance division; AI replacing manual work.
Meta, Reality Labs January >1,000 Pivot from Labs Metaverse to AI devices.
Autodesk January ~1,000 7% of workforce; shift towards cloud and AI.
Nike January 775 Profit push and automation.
Telstra February 650 AI-driven restructuring with Infosys.
Meta October ~600 Downsizing in AI Superintellige division.
Pinterest January Up to 15% Redirecting of resources toward workforce AI strategy.
Agora December Up to 166 Nearly 7% of workforce; digital restructuring.
MercadoLibre January 119 AI-expansion move.
British February Not specified Not AI‑driven American specified productivity Tobacco programme.

Entries that did not include a specific headcount are presented at the end of the list, consistent with the source compilation.


Context and implications

The list spans technology, manufacturing, retail, financial services and insurance, and shows reductions described by companies as tied to AI adoption, automation or efficiency drives. The largest disclosed reduction is Amazon's 16,000 corporate roles announced in January. Other major moves include several thousand roles at HP, Mizuho and Dow, and substantial cuts at Block and Wisetech.

While the data show a wide range of scales and timelines - from immediate cuts to multi-year plans - the common theme in disclosures is reorganizing workforces around AI, automation and cloud or efficiency priorities.

Risks

  • Potential rise in U.S. unemployment if AI adoption accelerates - this risk primarily affects labor markets and sectors most exposed to automation.
  • Concentrated disruption in industries identified as most exposed to automation - technology, manufacturing, payments, and certain insurance and financial services units face restructuring risk.
  • Incomplete disclosure of headcount figures for some companies creates uncertainty about the full scale of AI-related job reductions and complicates labor market impact assessment.

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