Layoffs are everywhere in tech right now

Companies are laying on the layoffs lately, and the body count is particularly high in tech.

According to Layoffs.fyi, 81,272 tech workers have gotten the boot in 2026—more than half the 124,201 cuts logged in all of 2025. And no, it’s not because bots are coming for everyone’s jobs, since only 6% of positions are expected to be automated by 2030, according to Forrester Research.

The bigger problem is that these companies have poured billions into ramping up their AI infrastructure, and are now being forced to make up those margins by trimming headcount. It’s gotten so bad that some companies are using buyouts to coax employees toward the exit, while temp hiring jumped 9% between February and March to pick up the slack on the cheap.

These layoffs are tough not only for the throngs scouring Linkedin, but an ominous sign that the US economy is starting to crack. Although the Federal Reserve is focused on battling inflation and the effects of the war in Iran, a wobbly job market may soon add to their headaches. Here’s a snapshot of the layoff landscape:

• Meta plans to slash 10% of its workforce (about 8,000 employees) on May 20, with more cuts potentially coming later this year. Back in January, the social media giant cut 10% (1,500 employees) from its virtual reality division.
• Oracle laid off 30,000 employees on March 31, about 18% of its global workforce, to free up $8—$10 billion in annual cash flow for the $50 billion going toward AI this year.
• Amazon has laid off a total of 30,000 employees in multiple rounds of layoffs from October through January—the largest workforce reduction in the company’s history.
• Microsoft had multiple rounds of layoffs in 2025, cutting 15,000 employees. On May 7, the company will roll out its first-ever voluntary buyouts targeting 7% of its staff—mainly senior directors and workers below that level whose years of employment and age add up to 70+.
• Snap, maker of Snapchat, slashed 16% of its employees, or roughly 1,000 people, in April.

How layoffs hit stocks: In the short term, stocks often rise, since shareholders see cuts as an easy way to trim costs. This time, however, the results are mixed. Meta and Microsoft dipped, while Snap and Amazon inched up. In other words, job cuts are no longer a guarantee of a stock pop, as investors fret over the effects of enormous AI spending.

What’s next: Layoffs don’t look like they’re easing up anytime soon, but the outlook isn’t entirely grim. Forrester forecasts that over the next five years, AI could actually expand 20% of jobs rather than replace them. Take it as just one more sign that cozying up to Claude will keep your paychecks coming.—JD