Monday.com, the Tel Aviv-based work management software innovator renowned for its vibrant and highly customizable project-tracking dashboards, has become the latest technology firm to attribute job reductions to the influence of artificial intelligence. The company announced in an SEC filing on Wednesday that it plans to reduce its global workforce by approximately 20%, impacting just over 600 employees. This move is part of a comprehensive "restructuring plan" designed to align with an "ongoing transformation of its product, marketing, and go-to-market strategy," aiming for a "leaner, more focused operating model" as it intensifies investment in its "AI-driven growth strategy."
Eran Zinman, co-founder of Monday.com, clarified the decision in a LinkedIn message to employees, stating that the layoffs "was not made to reduce costs or replace people with AI." Instead, he framed it as a necessary adaptation to an "AI-first vision" that the company articulated roughly a year ago during a platform-wide AI rebranding initiative. Despite operating two offices in the U.S., Monday.com anticipates incurring net restructuring charges between $45 million and $55 million, yet it still projects robust year-over-year revenue growth of up to 20% for 2026.
This development unfolds against a backdrop of significant shifts within the U.S. tech sector. A recent analysis by the Financial Times indicates that nearly 140,000 jobs have been eliminated by U.S. tech companies since the beginning of this year. Major players such as Amazon, Oracle, Meta, and Microsoft collectively account for almost 50,000 of these cuts, even as they channel hundreds of billions of dollars into expanding AI data center infrastructure. Interestingly, the Financial Times also observed that companies explicitly citing AI as a reason for job cuts have, on average, underperformed the Nasdaq by nearly 10% in the 30 trading days following their announcements, suggesting a degree of market skepticism regarding the stated rationales.
However, the landscape is not uniformly bleak. The Financial Times highlights that specialized AI companies like Anthropic and OpenAI are experiencing rapid growth in hiring, effectively absorbing some of the talent displaced elsewhere in the industry. Furthermore, within some of the very companies implementing cuts, there's a discernible shift in headcount rather than a simple reduction. For example, Meta repositioned approximately 7,000 employees into new AI-centric roles earlier this year, even as it laid off 8,000 others. Similarly, IBM has announced plans to triple its entry-level hiring for AI and hybrid-cloud positions, coinciding with recent workforce adjustments.
Below is a chronological overview, in reverse order, of major tech companies that have announced significant layoffs this year, with AI explicitly cited as a contributing factor.
Microsoft— July 9, 2026. Microsoft eliminated approximately 4,800 roles, representing 2.1% of its global workforce, with a majority impacting its Xbox gaming unit. This move aims to re-align the business just three years after its $75 billion acquisition of Activision Blizzard, according to the FT. Separately, the company offered voluntary separation buyouts, without disclosing the number of employees affected. Microsoft stated that these role eliminations were "not being replaced by AI" but acknowledged that "AI is changing how work gets done." CFO Amy Hood noted a year-over-year decline in total headcount for fiscal Q3, with further reductions expected as the company prioritizes "building high-performing teams that operate with pace and agility" amidst increasing AI investment.
Oracle— June 22, 2026. Oracle revealed in late June that its workforce had decreased by 21,000 employees over the preceding 12 months, a 13% reduction that exceeded prior public knowledge and included cuts attributed to AI. The company stated in an annual financial regulatory filing, "The adoption and deployment of AI technologies across our operations have resulted, and may continue to result, in reductions to our workforce."
GitLab— June 3, 2026. GitLab laid off roughly 350 employees, constituting about 14% of its staff. This measure was taken to fund investments in AI infrastructure and manage the surging traffic generated by AI workflows. CEO Bill Staples commented that agentic workloads are "pushing competitors to the brink" and that the company had initiated a "generational rebuild" of its core infrastructure to support what he termed "100x growth requirements." GitLab is also withdrawing from 22 countries, streamlining management layers, and collaborating with an undisclosed AI lab to re-engineer its platform for agent-scale workloads. The company reported first-quarter revenue of $264 million, a 23% increase year-over-year, and anticipates incurring $30 million to $35 million in restructuring costs.
Google— ongoing through May. Alphabet’s Google has been quietly reducing staff across its Cloud division, affecting groups such as its Threat Intelligence Group and Mandiant-linked cybersecurity personnel. These cuts occurred even as Cloud revenue soared by 63% to surpass $20 billion for the first time, and its backlog nearly doubled to over $460 billion. Over the past year, Google has reduced the number of managers overseeing small teams by more than a third—specifically, 35% fewer managers with fewer direct reports. Unlike most companies on this list, Google has not announced a single, overarching layoff number; instead, the reductions have been implemented through a rolling performance review process, a voluntary buyout program, and structural reorganizations, with external estimates placing the 2026 total between 1,500 and over 3,000 engineers.
Intuit— May 20, 2026. Intuit announced plans to eliminate approximately 3,000 jobs, representing about 17% of its total workforce. This restructuring is focused on reducing complexity and reallocating resources to prioritize artificial intelligence. CEO Sasan Goodarzi reportedly informed staff that the company is simplifying its structure to deliver superior products.
Meta— May 20-21, 2026. Meta laid off approximately 8,000 employees, about 10% of its workforce, while simultaneously transitioning around 7,000 employees into new AI-focused roles, which they reportedly found undesirable. CEO Mark Zuckerberg communicated to staff that these cuts were essential because "success isn’t a given" in the realm of AI.
Cisco— May 14, 2026. Cisco announced plans to cut nearly 4,000 jobs, approximately 5% of its workforce, despite reporting better-than-expected profits and revenues. CFO Mark Patterson stated, "This was really not a savings-driven restructure… this is more [about] realigning… resources around silicon, optics, security and AI."
Cloudflare— May 7-8, 2026. Cloudflare reduced its workforce by about 20%, affecting 1,100 people. This occurred while the company reported quarterly revenue of $639.8 million, a 34% increase year-over-year and its highest single quarter in company history. CEO Matthew Prince wrote that "the vast majority of those we laid off last week were measurers"—roles in middle management, finance, legal, internal auditing, and revenue recognition.
General Motors— May 12, 2026. GM eliminated 500 to 600 jobs, primarily in IT roles located in Austin, Texas, and Warren, Michigan. The company stated it was reevaluating its workforce needs amidst uncertain market conditions. A source familiar with the cuts informed CNBC that AI contributed to the decision, though it was not the sole factor. GM's statement indicated it was "transforming its Information Technology organization to better position the company for the future." Despite these reductions, the company still had approximately 80 open IT positions, including roles in AI, motorsports, and autonomous vehicles.
Coinbase— May 5, 2026. The cryptocurrency exchange announced it was reducing its staff by about 700 employees, or 14% of its workforce. This restructuring aims to address market volatility and enhance AI efficiency. The company flattened its organizational structure to five layers below the CEO and COO and indicated it would experiment with "one-person teams" integrating engineering, design, and product responsibilities. CEO Brian Armstrong wrote that AI had dramatically accelerated the pace of work—"engineers use AI to ship in days what used to take a team weeks"—and that the company needed to "leverage AI across every facet of our jobs."
PayPal— May 5, 2026. PayPal announced plans to cut approximately 20% of its workforce, exceeding 4,500 jobs, over the next two to three years. This is part of a turnaround strategy centered on AI adoption and organizational simplification. CEO Enrique Lores informed investors that the company would "aggressively adopt AI" in its development processes and had established a new "AI transformation and simplification" team, reporting directly to him. This team is tasked with redesigning the company’s processes "function by function." Lores framed the cuts as a move to eliminate organizational layers and emphasized that AI's impact would extend far beyond coding into areas like customer service, support operations, and risk management.
Microsoft— April-May 2026. Microsoft offered buyouts structured as voluntary separations, without disclosing the number of employees these would impact. CFO Amy Hood indicated that total headcount declined year-over-year in fiscal Q3 and is expected to continue declining as the company focuses on "building high-performing teams that operate with pace and agility" amidst increasing AI investment.
Snap— April 16, 2026. Snap reduced its global workforce by approximately 16%, affecting about 1,000 full-time employees, and closed over 300 open roles. CEO Evan Spiegel cited advancements in AI as a primary driver. In a memo filed with the SEC, Spiegel wrote, "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 small teams were already utilizing AI tools to drive progress across Snapchat+, ad platform performance, and infrastructure efficiency.
IBM— rolling through 2026. Between cuts in Q4 2025 and Red Hat engineering reductions in April 2026, estimates for eliminated U.S. positions range from 3,000 to 9,000, bringing IBM’s cumulative total since September 2024 to over 15,000. Bloomberg reported that IBM plans to triple its U.S. entry-level hiring for AI and hybrid-cloud roles, even as roughly 200 HR positions were replaced 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 eliminated approximately 1,600 jobs, representing 10% of its workforce, in an effort to "rebalance" towards AI and enterprise sales. Despite the layoffs, shares rose nearly 2% on the news. CEO Mike Cannon-Brookes stated, "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 (though disclosed in March 2026). Dell’s total workforce decreased by about 10% in fiscal 2026, equating to roughly 11,000 jobs, falling from 108,000 to approximately 97,000 employees year-over-year. The company incurred $569 million in severance costs. These cuts were announced as Dell projected its AI-optimized server revenue could double in fiscal 2027.
Oracle— March 5-31, 2026. As previously mentioned, Oracle began notifying employees of thousands of job cuts via terminal emails. These reductions occurred even as Oracle reported $3.7 billion in quarterly net income, a 27% increase year-over-year, with remaining performance obligations surging by 325% to $553 billion—savings that were redirected towards AI data centers. These initial cuts contributed to the total of 21,000 reductions over 12 months, as Oracle later disclosed in its June 22 annual filing.
Block— February 26-27, 2026. Jack Dorsey’s Block cut 4,000 jobs, nearly half of its workforce, bringing its total down to under 6,000 from over 10,000. Dorsey wrote on X: "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 commented, "I think most companies are late. 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, "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, with CEO Marc Benioff stating the company needed "less heads" as AI agents handled the workload.
Amazon— January 28, 2026. Amazon eliminated 16,000 corporate jobs, following 14,000 cuts in October 2025, representing about 9% of its corporate workforce within three months. The company stated this was part of an effort to "strengthen our organization by reducing layers, increasing ownership, and removing bureaucracy." CEO Andy Jassy had indicated 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."
The Editorial Staff at AIChief is a team of professional content writers with extensive experience in AI and marketing. Founded in 2025, AIChief has quickly grown into the largest free AI resource hub in the industry.