AI Has Cut More US Jobs in 2026 Than in All of 2025 Already

2026-6-5 11:21

Artificial Intelligence (AI) drove 38,579 US job cuts in May, the highest monthly total since tracking began in 2023, and the third straight month AI topped every other cause of layoffs.

AI accounted for 40% of all cuts announced in May, as employers move faster to automate roles and restructure around the technology.

AI Now Leads Every Reason for US Layoffs

The figures come from firm Challenger, Gray & Christmas. Its latest report shows AI’s share of monthly cuts rising from 7% in January to 26% in April, then 40% in May.

For the year, AI has been cited in 87,714 cuts, or 22% of all 2026 layoffs. That total already exceeds the 54,836 attributed to the technology across all of 2025.

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AI-Driven Layoffs. Source: Challenger, Gray & Christmas

Andy Challenger, the firm’s chief revenue officer, noted that companies are acting on AI and restructuring around it.

“AI isn’t yet the jobpocalypse some predicted. Like spreadsheets and email before it, the technology will ultimately make workers more productive, but our data shows companies are already acting on it, citing AI for more cuts than any other reason. The open question isn’t whether AI changes the workforce,” he said.

Banks and FinTechs Join the AI Cutting Spree 

The pressure now reaches beyond Big Tech. Financial technology (FinTech) firms announced 5,731 cuts in May, and most named AI in their announcements. 

Banks are restructuring around the same logic. Standard Chartered plans to cut 7,800 back-office jobs by 2030 as it scales automation.

Overall, total May cuts reached 97,006, the highest May figure since 2020 and the third consecutive monthly increase. Technology led all sectors with 38,242 cuts and remains the year’s biggest job cutter.

Employers have cut 397,755 jobs so far in 2026, a 43% drop from the 696,309 announced over the same stretch of 2025. That earlier figure was inflated by deep federal workforce reductions, which pushed the count into record territory.

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The post AI Has Cut More US Jobs in 2026 Than in All of 2025 Already appeared first on BeInCrypto.

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all may cuts accounted layoffs month topped

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