Overview

• Over 61,000 tech jobs have been eliminated across more than 130 companies in 2025, driven by slower growth and AI integration.
• Microsoft announced its largest layoff since 2023, cutting 6,000 roles, including nearly 2,000 in Washington state, to streamline operations and prioritize engineering talent.
• Reports indicate that 40% of Microsoft’s layoffs affected software engineers, some of whom were replaced by AI after being required to use AI tools for coding tasks.
• IBM has taken a different approach, using AI to automate HR tasks and reinvesting the savings into programming and sales hires, rather than widespread job cuts.
• Other tech giants like Google, Amazon, and CrowdStrike have also made targeted layoffs, citing restructuring, cost-cutting, and profitability goals.