Intuit and Meta Announce Thousands of Job Cuts This Week

Enterprise software maker Intuit cut 3,000 positions this week, representing 17 percent of its staff, and said the reductions would allow it to shift resources toward AI. Meta began laying off 8,000 workers on Wednesday, also citing a move of investment toward AI.

Cisco announced thousands of job cuts last week. CEO Chuck Robbins stated in a blog post that the reductions were partly intended to support employees' use of AI across the company.

Companies have announced nearly 50,000 job cuts this year linked to AI, according to data from outplacement firm Challenger, Gray & Christmas. Those cuts represent roughly 17 percent of the approximately 300,000 total job reductions announced so far in 2026.

EY-Parthenon chief economist Greg Daco told CBS News that many recent layoff announcements cite greater use of AI and are aimed at cutting labor expenses while AI investment grows rapidly.

1 percentage point. Columbia Business School associate professor Daniel Keum said the main channel of impact has been reduced hiring, especially for junior workers. Ken Matos, organizational psychologist and director of insights at hiring platform HiBob, said companies are currently moving labor dollars into technology investment, with the expectation that some of those funds may later return to labor once AI systems are in place.

Andrew Tran, a 40-year-old product designer among those leaving Meta, told CBS News he plans to seek employment at a company he believes is using AI intentionally rather than chiefly to replace workers. Meta did not immediately reply to a request for comment.