{"id":54118,"date":"2025-08-02T03:57:09","date_gmt":"2025-08-02T03:57:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/54118\/"},"modified":"2025-08-02T03:57:09","modified_gmt":"2025-08-02T03:57:09","slug":"ai-is-leading-to-thousands-of-job-losses-report-finds-2","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/54118\/","title":{"rendered":"AI is leading to thousands of job losses, report finds"},"content":{"rendered":"

The U.S. job market, already showing the strain from global trade tensions<\/a>, is showing early signs of another critical issue facing workers today: artificial intelligence.\u00a0<\/p>\n

In July alone, rising adoption of generative AI technology by private employers accounted for more than 10,000 job cuts, according to a report released this week by Challenger, Gray & Christmas. The outplacement firm lists AI as one of the top five factors contributing to job losses in 2025.<\/p>\n

Layoffs have jumped this year, adding to fresh concerns about a pullback in hiring after new labor data on Friday showed that employers added only 73,000 jobs in July<\/a> \u2014 well short of analyst forecasts. Through July, companies have announced more than 806,000 private-sector job cuts, the highest number for that period since 2020, according to Challenger, Gray & Christmas.<\/p>\n

Of those layoffs, the technology industry wielded the sharpest axe \u2014 private companies in the sector have announced more than 89,000 job cuts, up 36% from a year ago. Since 2023, more than 27,000 job cuts have been directly tied to the advent of AI, according to the firm.\u00a0<\/p>\n

“The industry is being reshaped by the advancement of artificial intelligence and ongoing uncertainty surrounding work visas, which have contributed to workforce reductions,” Challenger, Gray & Christmas said.\u00a0<\/p>\n

The impact of AI on hiring is perhaps most visible among younger workers. Job listings for the kind of entry-level corporate roles traditionally available to recent college graduates have declined 15%<\/a>\u00a0over the past year, according to Handshake, a career platform geared toward Gen Z employees. Over the past two years, there has been a 400% increase in employers using “AI” in job descriptions, the firm found.\u00a0<\/p>\n

While AI is already starting to reshape how Americans work, for now other factors are having a more immediate impact on the labor market. More than 292,000 positions have been eliminated this year due to cuts linked to the Department of Government Efficiency<\/a>\u00a0(DOGE), an initiative to reduce federal spending spearheaded by billionaire Elon Musk, Challenger, Gray & Christmas found.\u00a0<\/p>\n

“We are seeing the federal budget cuts implemented by DOGE impact non-profits and health care in addition to the government,” Andrew Challenger, senior vice president of Challenger, Gray & Christmas, said in a statement.\u00a0<\/p>\n

Layoffs are also accelerating in the vast retail sector as tariffs raise the cost of doing business, according to Challenger, Gray & Christmas. Retailers have announced more than 80,000 cuts through July, up nearly 250% compared to the same period last year, the firm found.\u00a0<\/p>\n

“Retailers are being impacted by tariffs, inflation and ongoing economic uncertainty causing layoffs and store closures. Further declines in consumer spending could trigger additional losses,” the group said.\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"The U.S. job market, already showing the strain from global trade tensions, is showing early signs of another…\n","protected":false},"author":2,"featured_media":54119,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[45],"tags":[182,41140,181,507,9556,11,74],"class_list":["post-54118","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-andrew-challenger","tag-artificial-intelligence","tag-artificialintelligence","tag-doge","tag-elon-musk","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/54118","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=54118"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/54118\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/54119"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=54118"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=54118"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=54118"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}