By Titik Puspa 
Monday.com, the Tel Aviv-based work management software titan celebrated for its vibrant and highly adaptable project-tracking interfaces, has become the latest prominent tech firm to point to artificial intelligence as a driving factor behind substantial job cuts. On Wednesday, the company formally announced in a Securities and Exchange Commission (SEC) filing its intention to lay off approximately 20% of its global workforce, impacting just over 600 employees. This significant reduction is part of a broader "restructuring plan" meticulously designed to facilitate what the company describes as an "ongoing transformation of its product, marketing, and go-to-market strategy." The objective, as outlined in the filing, is to cultivate a "leaner, more focused operating model" while simultaneously accelerating investments in its "AI-driven growth strategy."
In a candid internal communication shared with employees via LinkedIn, co-founder Eran Zinman sought to contextualize the decision, emphasizing that the layoffs were "not made to reduce costs or replace people with AI." Instead, Zinman positioned the move as a strategic adaptation of the organization to align with a new AI-first vision that Monday.com had championed approximately a year prior, coinciding with a significant rebranding effort centered on a platform-wide push into artificial intelligence capabilities. Despite these workforce adjustments, which impact employees across its U.S. offices, Monday.com projects a robust financial outlook, anticipating net restructuring charges between $45 million and $55 million, while still forecasting an impressive year-over-year revenue growth of up to 20% for the fiscal year 2026.
This development by Monday.com is emblematic of a larger trend permeating the technology sector. Recent analysis from the Financial Times reveals a stark reality: U.S. tech companies have collectively slashed nearly 140,000 jobs since the commencement of the current year. Giants such as Amazon, Oracle, Meta, and Microsoft alone account for a staggering 50,000 of these reductions, a move often intertwined with their massive, multi-billion dollar investments in building out AI-centric data center infrastructure. Intriguingly, the FT’s findings also suggest a potential market skepticism towards the stated justifications for these layoffs. Companies that have explicitly cited AI as a contributing factor to their workforce reductions have, on average, underperformed the Nasdaq index by nearly 10% in the 30 trading days following their announcements. This divergence indicates that investors may not be fully convinced by the narrative linking AI advancements directly to job elimination.
However, the overall employment landscape within the tech industry is not uniformly bleak. The FT’s analysis also highlights areas of significant growth and opportunity. AI-focused enterprises, including prominent names like Anthropic and OpenAI, are actively engaged in rapid hiring, effectively absorbing a portion of the talent pool that has been displaced from other sectors. Furthermore, within some of the very companies implementing layoffs, there is a discernible shift in workforce allocation rather than a complete disappearance of roles. Meta, for instance, strategically transitioned approximately 7,000 employees into newly created AI-focused positions earlier this year, even as it simultaneously laid off 8,000 other staff members. Similarly, IBM has articulated plans to triple its entry-level hiring for AI and hybrid-cloud roles, a move that coexists with its recent workforce reductions.
The following is a comprehensive overview, presented in reverse chronological order, of major technology companies that have announced significant layoffs in the current year, with artificial intelligence cited as a contributing factor:
Microsoft – July 9, 2026
Microsoft executed a significant workforce reduction, impacting approximately 4,800 roles, representing 2.1% of its global workforce. The majority of these cuts were concentrated within its Xbox gaming division, a strategic reset occurring just three years after the company’s monumental $75 billion acquisition of Activision Blizzard. In addition to these role eliminations, Microsoft also offered voluntary separation packages, the total impact of which remains undisclosed. While the company asserted that these job reductions were "not being replaced by AI," it concurrently acknowledged that "AI is changing how work gets done." Chief Financial Officer Amy Hood noted a year-over-year decline in total headcount during the third fiscal quarter, a trend expected to persist as Microsoft prioritizes the development of "high-performing teams that operate with pace and agility" amidst escalating investments in artificial intelligence.
Oracle – June 22, 2026
Oracle disclosed in late June a substantial reduction in its workforce, revealing that it had eliminated 21,000 employees over the preceding 12 months. This represents a significant 13% decline in headcount, surpassing previous estimates and notably linked to the company’s integration of AI technologies. In its annual financial regulatory filing, Oracle explicitly stated, "The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce." This statement underscores a direct acknowledgment of AI’s impact on employment levels within the enterprise software giant.
GitLab – June 3, 2026
GitLab implemented layoffs affecting roughly 350 workers, a move that constituted approximately 14% of its total staff. The primary motivation behind these cuts was to reallocate resources towards funding AI infrastructure investments and to effectively manage the escalating traffic generated by AI-driven workflows. CEO Bill Staples articulated that "agentic workloads" are "pushing competitors to the brink," necessitating a "generational rebuild" of GitLab’s core infrastructure to accommodate what he projected to be 100x growth requirements. The company is also exiting operations in 22 countries, streamlining its management layers, and forging a partnership with an undisclosed AI lab to fundamentally rearchitect its platform for agent-scale workloads. GitLab reported first-quarter revenue of $264 million, a 23% year-over-year increase, and anticipates incurring between $30 million and $35 million in restructuring costs.
Google – Ongoing through May 2026
Alphabet’s Google has been quietly implementing employee reductions across its Cloud division. These cuts have impacted critical teams, including the Threat Intelligence Group and cybersecurity staff associated with Mandiant. This comes at a time when Google Cloud revenue has experienced a remarkable 63% surge, surpassing $20 billion for the first time, and its backlog has nearly doubled to over $460 billion. Over the past year, Google has reduced its management ranks by more than a third, specifically targeting managers overseeing small teams, resulting in a 35% decrease in managers with fewer direct reports. Unlike many other companies on this list, Google has eschewed a single, overarching layoff announcement. Instead, the reductions have been distributed through a continuous performance review process, a voluntary buyout program, and structural reorganizations. External estimates place the total number of affected employees in 2026 between 1,500 and over 3,000, primarily comprising engineers.
Intuit – May 20, 2026
Intuit announced plans to eliminate approximately 3,000 jobs, a substantial reduction representing about 17% of its total workforce. This restructuring initiative is squarely focused on reducing organizational complexity and strategically reallocating resources towards advancing its artificial intelligence capabilities. CEO Sasan Goodarzi reportedly communicated to staff that the company’s objective is to "reduce complexity and simplify the structure so it can deliver better products."
Meta – May 20-21, 2026
Meta conducted layoffs affecting roughly 8,000 employees, a figure equivalent to approximately 10% of its workforce. Concurrently, the company reallocated about 7,000 employees into newly established AI-focused roles. Reports indicate that many of these relocated employees are experiencing dissatisfaction with their new positions. CEO Mark Zuckerberg conveyed to staff that these measures were imperative, stating that "success isn’t a given" in the highly competitive AI landscape.
Cisco – May 14, 2026
Cisco announced its intention to cut nearly 4,000 jobs, a move affecting approximately 5% of its workforce. This decision was made despite the company reporting better-than-expected quarterly profits and revenue. CFO Mark Patterson clarified that "This was really not a savings-driven restructure… this is more [about] realigning… resources around silicon, optics, security and AI." This indicates a strategic pivot towards prioritizing investments in these key technological areas.
Cloudflare – May 7-8, 2026
Cloudflare implemented layoffs impacting about 20% of its workforce, totaling 1,100 individuals. This occurred shortly after reporting quarterly revenue of $639.8 million, a 34% year-over-year increase and the company’s highest single-quarter revenue to date. CEO Matthew Prince explained in a written statement that "the vast majority of those we laid off last week were measurers" – a category encompassing middle management, finance, legal, internal auditing, and revenue recognition roles. This suggests a move towards streamlining operational and administrative functions.
General Motors – May 12, 2026
GM eliminated between 500 and 600 jobs, primarily within its IT departments located in Austin, Texas, and Warren, Michigan. The company cited a reevaluation of its workforce needs amidst uncertain market conditions as the rationale for these cuts. A source familiar with the decisions informed CNBC that while AI played a role, it was not the sole determinant. GM’s official statement emphasized its commitment to "transforming its Information Technology organization to better position the company for the future." Despite these reductions, the company maintained approximately 80 open IT positions, including roles in AI, motorsports, and autonomous vehicles, indicating continued investment in future-oriented technologies.
Coinbase – May 5, 2026
The cryptocurrency exchange announced plans to lay off approximately 700 employees, constituting 14% of its staff. These cuts are part of a broader restructuring effort aimed at navigating market volatility and enhancing AI-driven efficiency. Coinbase has flattened its organizational structure to five layers below the CEO and COO and intends to experiment with "one-person teams" that integrate engineering, design, and product functions. CEO Brian Armstrong highlighted the dramatic acceleration of work enabled by AI, stating that "engineers use AI to ship in days what used to take a team weeks," and emphasized the necessity for the company to "leverage AI across every facet of our jobs."
PayPal – May 5, 2026
PayPal unveiled plans to reduce its workforce by approximately 20% over the next two to three years, a reduction that will impact more than 4,500 jobs. This significant workforce adjustment is a cornerstone of a turnaround strategy centered on accelerating AI adoption and simplifying its organizational structure. CEO Enrique Lores informed investors that the company would "aggressively adopt AI" throughout its development processes and established a new "AI transformation and simplification" team reporting directly to him. This team is tasked with a comprehensive redesign of the company’s processes on a "function by function" basis. Lores characterized the cuts as an initiative to eliminate organizational layers, with AI’s influence extending beyond coding to encompass customer service, support operations, and risk management.
Microsoft – April-May 2026
Microsoft offered voluntary separation packages to employees, the total number of individuals impacted by which was not disclosed. CFO Amy Hood indicated a year-over-year decline in total headcount during the third fiscal quarter, a trend anticipated to continue as the company focuses on cultivating "high-performing teams that operate with pace and agility" in alignment with its escalating AI investments.
Snap – April 16, 2026
Snap reduced its global workforce by approximately 16%, affecting about 1,000 full-time employees, and concurrently halted more than 300 open positions. CEO Evan Spiegel identified advancements in AI as a primary driver for these decisions. Spiegel stated in a memo filed with the SEC that "Rapid advancements in artificial intelligence enable our teams to reduce repetitive work, increase velocity, and better support our community, partners, and advertisers." The company noted that it had already observed small teams leveraging AI tools to drive progress across its Snapchat+ platform, ad platform performance, and infrastructure efficiency.
IBM – Rolling through 2026
IBM’s workforce reductions have been ongoing, with estimates ranging from 3,000 to 9,000 U.S. positions eliminated between Q4 2025 cuts and Red Hat engineering reductions in April 2026. This brings IBM’s cumulative total since September 2024 to over 15,000. Bloomberg reported that IBM intends to triple its U.S. entry-level hiring for AI and hybrid-cloud roles, even as approximately 200 HR positions have been supplanted by AI agents. An IBM spokesperson characterized the Q4 2025 round as a "routine rebalancing" affecting "a low single-digit percentage" of its global workforce.
Atlassian – March 11, 2026
Atlassian cut approximately 1,600 jobs, representing 10% of its workforce, to "rebalance" its operations towards AI and enterprise sales. This announcement coincided with a nearly 2% rise in its stock price. CEO Mike Cannon-Brookes remarked, "Our approach is not ‘AI replaces people.’ But it would be disingenuous to pretend AI doesn’t change the mix of skills we need or the number of roles required in certain areas. It does."
Dell – January 30 (Disclosed in March 2026)
Dell’s total workforce experienced a reduction of about 10% in fiscal year 2026, equating to approximately 11,000 jobs. The company’s headcount decreased from 108,000 to roughly 97,000 employees over the year, with $569 million allocated to severance packages. These cuts occurred as Dell projected its AI-optimized server revenue could potentially double in fiscal year 2027, indicating a strategic investment in AI-related hardware.
Oracle – March 5-31, 2026
As previously noted, Oracle began informing employees of thousands of job cuts through terminal emails. These reductions occurred despite Oracle reporting $3.7 billion in quarterly net income, a 27% year-over-year increase, and a 325% surge in remaining performance obligations to $553 billion. The company redirected savings towards AI data centers. The total number of cuts eventually reached 21,000 over a 12-month period, as disclosed in Oracle’s annual filing on June 22.
Block – February 26-27, 2026
Jack Dorsey’s Block executed layoffs impacting 4,000 jobs, nearly half of its workforce, reducing its headcount from over 10,000 to under 6,000. Dorsey shared on X that "We’re already seeing that the intelligence tools we’re creating and using, paired with smaller and flatter teams, are enabling a new way of working which fundamentally changes what it means to build and run a company." He further predicted that "Within the next year, I believe the majority of companies will reach the same conclusion and make similar structural changes."
Salesforce – February 10, 2026
Salesforce laid off fewer than 1,000 employees across its marketing, product management, data analytics, and Agentforce AI units. The company informed Fortune that "Because of the benefits and efficiencies of Agentforce, we’ve seen the number of support cases we handle decline and we no longer need to actively backfill support engineer roles." This followed an earlier reduction of approximately 4,000 customer-support roles, shrinking that team from roughly 9,000 to 5,000. CEO Marc Benioff stated that the company required "less heads" due to the work being handled by AI agents.
Amazon – January 28, 2026
Amazon implemented layoffs affecting 16,000 corporate jobs. This followed a previous reduction of 14,000 jobs in October 2025, bringing the total to approximately 9% of its corporate workforce within a three-month span. The company attributed these cuts to efforts to "strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy." CEO Andy Jassy had previously stated in June 2025 that "As we roll out more generative AI and agents, it should change the way our work is done. We will need fewer people doing some of the jobs that are being done today… in the next few years, we expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company."
