Companies Are Warming Up to Saying AI Is the Reason for Job Cuts
AI is increasingly being cited as a factor driving job cuts and hiring freezes.
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(This story was originally published on Nov. 19, 2025. On Feb. 26, 2026, Jack Dorsey’s Block said it's cutting 4,000 employees, reducing its workforce by nearly half, in a move the firm is describing as a bet on AI changing labor productivity.)
In late September, the German airline Deutsche Lufthansa AG told analysts and investors that it planned to eliminate 4,000 administrative positions by the end of the decade. Among the reasons it cited was “the increased use of artificial intelligence.”