ARTICLE AD BOX
New Delhi: There have been numerous news reports of tech layoffs by major tech companies like Microsoft, Meta, and Oracle in recent months. But the tech industry is now seeing a blaze of tectonic shifts in the job market with more than 92,000 workers across the globe losing their jobs in the first five months of 2026, marking a deeper structural shakeup across the industry.
The scale and speed of the workforce reductions is highlighted by the fact that just about 45,000 workers were laid off in April alone the biggest month for layoffs in almost two years.
The job reductions come as part of a trend of mass-scale job cuts sweeping across major companies, including Oracle, Block, Snap, Microsoft, Amazon and Facebook parent Meta, all citing AI-driven efficiencies and pandemic-era over-hiring as reasons for the job cuts.
As you’ve all heard, recently Meta has announced it is going to reduce its workforce by roughly 8,000, or 10%, and is also spending a lot of money on infrastructure for the AI. Microsoft has launched the first voluntary buyout programme, possibly affecting thousands of staff in the USA.
This is a significant shift in tech companies’ reallocation of resources. At the same time, companies are redirecting more of their resources to AI capabilities, automation tools, and data centers by reimagining their operations and, in the process, holding back some of their employees. Workflow is already changing with automation. So far, AI has been used to write much of Snap’s code, meaning they’re more efficient with less elbow grease.
Some of the highlights for this cycle are the growth of the business and the reduction of numbers. The current wave of downturns is a new one, however, sparked by an underlying shift in the industry; efficiency, automation, and long-term technology wagers are key priorities for companies.
The mismatch between hiring up in emerging tech roles and firing down in traditional functions is growing more stark, as the industry continues its shift towards AI-led growth. The mismatches between hiring up in emerging tech roles and firing down in traditional functions is becoming even more pronounced, suggesting a long-term transformation in how tech work is defined and delivered.
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