We all knew that this would be coming. In 2026, the rate of AI-related layoffs has greatly accelerated, and that means that large numbers of good paying jobs are suddenly disappearing from the economy. This is occurring when we are already facing one major crisis after another, and so the timing could not be worse. Many young people specifically chose a major in college that would prepare them for positions in the tech industry because those were supposed to be the jobs of the future. Unfortunately, the AI jobs apocalypse is wiping out those jobs the fastest.
Let me give you some cold, hard numbers that will clearly demonstrate what I am talking about.
According to Challenger, Gray & Christmas, the number of announced job cuts in the United States last month was the highest that we have seen during the month of May since the peak of the last pandemic…
U.S.-based employers announced 97,006 job cuts in May, up 16% from the 83,387 job cuts recorded in April, and up 3% from the 93,816 announced in the same month last year, according to a report released Thursday from global outplacement and executive coaching firm Challenger, Gray & Christmas.
May’s total is the highest for the month since 2020, when 397,016 job cuts were recorded in May at the height of the pandemic. It also marks the third straight month that cuts have risen, climbing from 48,307 in February to 97,006 in May.
There is no way to spin those numbers to make them look good.
And for the third month in a row, artificial intelligence accounted for more layoffs than any other reason…
In May, Artificial Intelligence (AI) led all reasons for job cuts for the third month in a row, with 38,579 announced cuts. It is the highest monthly total ever recorded for the reason since Challenger began tracking it in 2023, and it accounted for 40% of all cuts announced in May — up from just 7% in January, 25% in March, and 26% in April. For the year, AI has been cited in 87,714 cuts, or 22% of all 2026 layoffs, already far surpassing the 54,836 attributed to the reason in all of 2025.
Read that last sentence again.
The number of AI-related layoffs in 2026 has already surpassed the grand total of AI-related layoffs for the entire year of 2025.
That is how fast things are now moving.
Needless to say, the tech industry is being hit the hardest.
At this point, tech layoffs are running 44 percent faster than last year…
So far this year, there have been an estimated 363 layoffs at tech companies this year, affecting nearly 150,000 people — a pace of about 974 people per day, 44% faster than last year — according to TrueUp, a tech job board and recruiting platform that also runs one of the most widely cited tech layoff trackers.
The trend appears to be accelerating. Tech layoffs hit their highest single month in two years last month, with nearly 40,000 cuts, and AI was the most-cited reason for layoffs across every industry for the third month running, according to outplacement firm Challenger, Gray & Christmas.
There is no long-term loyalty in the tech industry anymore.
The moment that AI can do your work more efficiently than you can, you are in danger of being let go.
Some of you out there have personally experienced this.
During the past six months, we have seen some of the biggest names in tech radically transform their workforces…
Several major tech companies have announced significant workforce reductions this year while simultaneously ramping up investments in artificial intelligence.
Oracle disclosed recently that it has reduced its workforce by roughly 21,000 employees (4) over the past year. Meanwhile, Google has continued trimming staff (5) through performance reviews, buyout programs and reorganizations, with outside estimates suggesting between 1,500 and 3,000 engineering roles have been eliminated in 2026.
Meta also laid off roughly 8,000 employees earlier this year while shifting about 7,000 workers into AI-focused roles, highlighting how some companies are cutting jobs in certain areas while continuing to invest heavily in artificial intelligence.
This is just the beginning.
And it is going to spread to every industry.
If you can believe it, a major tobacco company just announced that it is planning to “cut about 20% of its workforce as it pursues an AI-driven overhaul”…
British American Tobacco (BATS.L), opens new tab plans to cut about 20% of its workforce as it pursues an AI-driven overhaul to lower costs and lift profits amid regulatory challenges and delayed launches.
The maker of Lucky Strike and Dunhill cigarettes said on Monday it would cut around 5,500 jobs and move roughly 3,500 roles to third-party firms, including Accenture . The restructuring would affect around 9,000 employees in total, but excludes the U.S., the company’s biggest market.
BitGo is another firm that is ruthlessly firing employees for AI-related reasons…
BitGo has joined the growing ranks of crypto firms slashing staff numbers as part of a pivot to AI.
The crypto custody and infrastructure company is cutting nearly 15% of its workforce, co-founder and CEO Mike Belshe said Thursday in a tweet that BitGo also filed with the U.S. Securities and Exchange Commission.
A lot of the workers that are hitting the bricks are relatively young.
In the past, it was fairly easy to find another tech industry job, but now that has completely changed.
In fact, it has become so difficult to find a tech job these days that many job seekers have resorted to “spraying and praying”…
To survive this nightmarish job market, candidates are now “spraying and praying,” as one career coach described it — or paying resume services to blast out thousands of CVs per day to game the system and land a gig. However, according to experts in the tech industry who spoke with SFGATE, this is only creating a vicious cycle of inefficiency that hurts both workers and companies.
According to a recent survey conducted by Robert Half, a Bay Area talent and business solutions firm, over 50% of hiring managers said that AI-generated resumes are “flooding the market,” making it difficult to weed out candidates who are actually qualified for roles. To combat this torrent of resumes, 33% of hiring managers are now using AI-detection tools and spending more time training employees on how to spot ones that feel authentic.
“Many hiring managers tell us it’s becoming harder to distinguish between applicants because AI-generated resumes often use similar language, formatting and keywords,” Terah Brossart Daniels, a technology jobs expert with Robert Half, said. “Another issue is authenticity. A resume may look impressive on paper, but employers are spending more time validating whether a candidate’s experience, accomplishments and technical skills hold up throughout the interview process.”
If conditions are this bad now, what will the employment market look like once things really start falling apart in this country?
We were promised that AI would unleash a new golden age of peace and prosperity for our society.
Obviously that is not what is actually happening.
AI technology will continue to advance at an exponential rate, and soon millions more human workers will become obsolete.
This story is not going to end well, but most of you have already figured that out.
Michael’s new book entitled “10 Prophetic Events That Are Coming Next” is available in paperback and for the Kindle on Amazon.com, and you can subscribe to his Substack newsletter at michaeltsnyder.substack.com.
About the Author: Michael Snyder’s new book entitled “10 Prophetic Events That Are Coming Next” is available in paperback and for the Kindle on Amazon.com. He has also written nine other books that are available on Amazon.com including “Chaos”, “End Times”, “7 Year Apocalypse”, “Lost Prophecies Of The Future Of America”, “The Beginning Of The End”, and “Living A Life That Really Matters”. When you purchase any of Michael’s books you help to support the work that he is doing. You can also get his articles by email as soon as he publishes them by subscribing to his Substack newsletter. Michael has published thousands of articles on The Economic Collapse Blog, End Of The American Dream and The Most Important News, and he always freely and happily allows others to republish those articles on their own websites. These are such troubled times, and people need hope. John 3:16 tells us about the hope that God has given us through Jesus Christ: “For God so loved the world, that he gave his only begotten Son, that whosoever believeth in him should not perish, but have everlasting life.” If you have not already done so, we strongly urge you to invite Jesus Christ to be your Lord and Savior today.
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