Tech layoffs near 154,000 in 2026 amid AI restructuring

Dubai: Global technology companies have cut nearly 154,000 jobs in the first half of 2026, putting the sector on course to surpass last year’s total as artificial intelligence, cost controls and restructuring plans redraw workforce needs across the industry.

Data compiled by TradingPlatforms showed that at least 153,965 jobs had been eliminated across the global tech sector as of July 2, compared with 246,000 layoffs recorded during the whole of 2025.

The latest wave comes after a more modest June. It has brought renewed attention to how far AI is influencing hiring plans, management structures and delivery models at some of the world’s largest technology companies.

Biggest job cuts

Oracle has recorded the highest number of tech layoffs so far this year, with 25,754 jobs cut after expanding its restructuring programme. The figure includes a recent round affecting around 600 employees in Romania.

Amazon ranks second, after cutting about 16,000 corporate roles in January. The move followed an earlier phase of downsizing that began with 14,000 cuts in October 2025.

The company has also filed a WARN notice for around 600 job cuts at its Homestead, Florida logistics facility, effective between July 2 and September 30. Amazon has said those cuts are linked to converting the two-year-old warehouse from a shipping centre into a full-scale fulfilment centre, with reopening planned for mid-to-late 2028 and around 1,000 jobs expected to return once the work is complete.

AI and restructuring

Cognizant is cutting up to 15,000 roles globally under its Project Leap restructuring plan, which is tied to a $230 million to $320 million cost programme. India, where more than 250,000 of the company’s 350,000-plus employees are based, is expected to take the largest share of reductions as Cognizant moves towards a leaner, AI-supported delivery model.

Meta has cut around 10,400 roles across several rounds this year. The company reduced headcount in Reality Labs in January, cut more roles across five divisions in March, and then let go of about 8,000 employees in May while cancelling plans to hire 6,000 new staff. A smaller round later hit jobs in Burlingame and Sunnyvale.

Microsoft became the latest major company to join the 2026 layoff list, with reported cuts of about 5,500 roles, equal to around 2.5% of its 220,000-person global workforce. The reductions span sales, consulting and Xbox, though Microsoft has not confirmed an exact number.

Stanislava Savisheva, analyst at TradingPlatforms, said, “When you look at this year's job cuts, it's easy to say AI is killing jobs. But look closer and you find two different things at play. A big part of it is genuine repricing - a company weighs what a task costs with AI versus without, and cuts the gap. But we are also seeing routine restructuring or a fiscal-year trim, dressed up in AI language because that's the story investors want to hear. Meta and Cognizant both tie their cuts explicitly to AI. Amazon didn't, it went out of its way to say the 16,000 jobs cut in January were about removing bureaucracy and simplifying management, even as it continued pouring billions into AI infrastructure. That's the key distinction.

“Nearly every major tech company is investing aggressively in AI, but not every company is willing to say AI is behind its workforce reductions. In many cases, AI is one factor among several, alongside restructuring, cost-cutting and changing business priorities. So in essence, AI has become the strategic priority around which companies are reorganising their businesses, whether they state it or not.”

More cuts possible

The findings suggest that 2026 is shaping up to be another difficult year for technology workers, with companies continuing to use restructuring plans to protect margins while investing heavily in AI infrastructure, automation and new operating models.

The pattern also shows a more selective labour market, where companies are still spending on AI, cloud, data centres and automation, while reducing roles seen as less central to their next phase of growth.

The report is based on layoff announcements, WARN filings and independent reports since January 2026.