A global wave of layoffs is rattling the technology sector, with more than 100,000 jobs lost so far in 2025 across household names like Amazon, Meta, Intel, and Google. The trend marks one of the largest rounds of job cuts in recent years, reflecting both economic headwinds and rapid advances in automation and AI.
Restructuring Across the Industry
Analysts say the root cause is twofold: a post-pandemic correction in demand for online services, and the swift adoption of artificial intelligence tools that automate routine programming, support, and operations roles. Many companies are pivoting business models to focus on generative AI, cloud, and subscription-based services, demanding new workforce skills while reducing traditional headcounts.
In the US, the layoffs threaten to erode confidence in the technology-led recovery even as unemployment remains low in other sectors.
India’s IT Sector Not Spared
Indian IT majors are feeling the tremors as well. Tata Consultancy Services and Wipro have announced workforce reductions and skill-shifting programs to adapt to automation. Many mid-level workers now face retraining mandates to remain relevant in AI-driven project environments. However, India remains relatively resilient: recent employment surveys suggest Indian companies continue to have one of the strongest global hiring intentions, thanks to robust demand in finance, energy, and technology segments.
Global Upskilling Race
According to findings from the World Economic Forum’s Future of Jobs Report, AI and data analytics are projected to create as many as 11 million new jobs globally by 2030, but critical gaps in digital skills persist. Experts urge both governments and companies to invest in professional retraining, particularly for mid- and entry-level roles most at risk from automation.
With layoffs poised to continue into 2026, tech professionals are being encouraged to embrace continuous upskilling and diversify into fields with growing demand, such as machine learning, renewable energy, and cyber security.
