Cause AI technical discharge? This is what CEOs suggest, but reality is complicated | Mint

If you read the typical mass -dismissal notice of 2025 from a CEO of the Technology Industry, you may think that artificial intelligence workers cost their work. The reality is more complicated, with companies trying to draw to Wall Street that they make themselves more effective, because they are preparing for broader changes made by AI. A new report Wednesday of the career website says that technical posts fell by 36% in July from their early 2020 levels, with AI One, but not the most obvious factor to hold a setback. The debut of Chatgpt at the end of 2022 also corresponds to the end of a pandemic era that is an inherent, which makes it difficult to isolate AI’s role in the result of the result that followed. “We are kind of in this period where the technical labor market is weak, but other areas of the labor market have also cooled down at a similar rate,” says Brendon Bernard, an economist at the Lab. ‘Technical posts have actually developed very similar to the rest of the economy, including relative to posts where there is really not as much exposure to AI.’ That nuance is not always clear from the last six months of email of technological discharge, which often includes a nod to AI, in addition to expressions of sympathy. When he announced Massa Equips earlier this year, Workday CEO Carl Eschenbach invited employees to consider the bigger picture: “Companies everywhere are re -planning how work is done, and the increasing demand for AI has the potential to bring about a new era of work day growth.” Autodesk CEO Andrew Anagnost explained that a need to move resources to accelerate ‘investments’ in AI, one of the reasons was that the company had to cut 1.350 or about 9%of workers. The “why we do this” from George Kurtz, CEO of Crowdstrike, George Kurtz, of 5% job cuts, said the cyber security company should double AI investments to “accelerate execution and efficiency”. “Ai flat our rental curve and help us innovate faster from idea to product,” Kurtz wrote. These are not just US companies. In India, the technical giant Tata Consultancy Services recently characterized its 12,000 discharge, or 2% of its workforce, as part of a shift to a ‘future organization’ that would re -align its workforce and deploy AI on scale for our clients and ourselves. ” Even the Japanese parent company of indeed and Glassdoor cited an AI shift in his notice of 1,300 dismissal on the job search and workplace assessment sites. Microsoft, who is scheduled to release his earnings in the fourth quarter on Wednesday, announced dismissal of about 15,000 workers this year, even though its profits have risen. Microsoft CEO Satya Nadella told employees last week that the dismissal weighed “heavy” on him, but also positioned them as an opportunity to re -emit the company’s mission for an AI era. Promises of a slim approach have been welcomed on Wall Street, especially of technical giants trying to justify large amounts of capital spending to pay for data centers, chips and other components needed to stimulate AI technology. “It is this kind of double -edged restructuring of the sword that I think many technical giants encounter in this era of AI, where they should find the right balance between maintaining an appropriate bunch, but also that artificial intelligence can come to the fore,” said Bryan Hayes, a strategist at Zacks Investment Research. Google said last week it would increase its capital expenditure budget by extra $ 10 billion to $ 85 billion. Microsoft is expected to provide similar guidance soon. One thing is clear to Hayes: Microsoft’s work cuts improve its profit margin prospects for the financial year 2026 which began in July. But what this broader dismissal of the technology industry means for the employment prospects of technical workers can be more difficult to measure. “Will Ai replace some of these posts? Absolutely,” says Hayes. ‘But it’s going to create a lot of work too. Employees who can utilize artificial intelligence and help the businesses innovate and create new products and services will be those who are highly demand. ‘ He pointed out to Meta Platforms, the parent company of Facebook and Instagram, which is on an edge to offer profitable packages to recruit elite scientists from competitors such as Openai. The reports published by Wednesday show that AI specialists are doing better than standard software engineers, but even these posts are not where it was. “Machine lying engineers-who are kind of the canonical AI work-these postal placements are still noticeable above where they were pre-pandemics, although they actually came off compared to their 2022 peak,” says Bernard, the indeed economist. “It was also influenced by the cyclical up and downs of the sector.” Technical appointment has plunged especially in AI hubs such as the San Francisco Bay area, as well as Boston and Seattle. But if you look closer to which technical workers were the least likely to employ, it found the deepest impact on entry-level work in the technology industry, with those with at least five years of experience performing better. The decrease in the leasing was the sharpest in the technical jobs at entry level involving marketing, administrative help and human resources, all of which involve tasks overlapping with the strength of the latest generative AI instruments that can help create documents and images. “The dive in technology rental started before the new AI era, but the requirements for shifting experience are something that has happened a little more recently,” Bernard said.