Key points
- Employers cited AI for 120,136 announced US job cuts from January to September 2026, about 21% of all announced cuts and the top reason of the year (Challenger).
- The trend is fading: in September only 3,961 cuts cited AI, about 9%, and AI dropped to the fifth reason.
- In our tracker, 17 of 63 tech layoff announcements this year cite AI in the company’s own words. The peak was May (6 of 11); August had none.
- For scale: the BLS counted 1.6 million layoffs and discharges in August alone. A layoff that “cites AI” is not proof that AI replaced those jobs.
Artificial intelligence was the most common reason US employers gave for job cuts in 2026. But the numbers behind the headlines are smaller, and more uneven, than they look. Here is what the data shows, from the Challenger, Gray & Christmas September report, our own Tech Layoff Tracker and the Bureau of Labor Statistics.
How many layoffs cite AI in 2026?
Challenger, Gray & Christmas, which tracks announced job cuts, counted 573,195 cuts from January to September 2026. Employers cited AI for 120,136 of them, about 21%, which makes it the leading reason of the year. In September, though, AI was cited for only 3,961 of 43,281 cuts, about 9%, and fell to fifth place.
AI-linked tech layoffs, month by month
Our tracker records every 2026 tech layoff backed by an SEC filing or a company statement. We mark a cut as “AI cited” only when the company itself links it to AI. So far, 17 of 63 announcements do (27%). They clustered in May, when 6 of 11 announcements cited AI. In August, none did.
Tech layoffs that cite AI, by month
Layoff announcements in our tracker, 2026. Red: the company itself linked the cut to AI. Hover or tap a month.
May 2026: 6 of 11 layoff announcements cited AI
Which companies cited AI?
| Date | Company | Cut | Source |
|---|---|---|---|
| Oct 1 | HubSpot | Nearly 660 employees | SEC 8-K |
| Oct 1 | FICO | About 15% of positions | SEC 8-K |
| Sep 1 | Zscaler | About 3% of worldwide headcount | SEC 8-K |
| Jul 22 | monday.com | About 20% of workforce | SEC Form 6-K |
| Jul 8 | Sprout Social | About 260 employees | SEC 8-K |
| Jun 23 | Elastic | About 7% of workforce | SEC 8-K |
| May 28 | SentinelOne | About 8% of full-time employees | SEC 8-K |
| May 21 | Groupon | Up to 400 positions, including contractors | SEC 8-K |
| May 13 | Cisco | Not disclosed | SEC 8-K |
| May 7 | Cloudflare | About 20% of workforce | SEC 8-K |
| May 5 | Freshworks | About 500 employees | SEC 8-K |
| May 5 | Coinbase | About 700 employees | SEC 8-K |
| Apr 28 | Vertex | About 170 employees | SEC 8-K |
| Mar 11 | Atlassian | About 10% of workforce | SEC 8-K |
| Jan 26 | Less than 15% of workforce | SEC 8-K | |
| Jan 7 | Pegasystems | Not disclosed | SEC 8-K |
| Jan 7 | Angi | About 350 employees | SEC 8-K |
Citing AI can mean different things. Some companies say AI lets them do the same work with fewer people. Others reorganize around AI products. HubSpot’s plan was framed around “delivering outcomes with AI”, yet its CEO said the cut was not driven by AI-related efficiencies.
How big is this compared with all US layoffs?
Announcements are only part of the picture. The BLS JOLTS release counted 1.6 million layoffs and discharges in August 2026 alone, a rate of 1.0%. The 120,136 AI-cited cuts announced in nine months equal less than 8% of the layoffs in that single month. Most people who lose their job in the US do so in layoffs that never make the news. See our US layoffs statistics and JOLTS data.
Is it really AI, or “AI washing”?
Critics use the term AI washing for companies that cite AI to make ordinary cost cuts sound strategic. The data cannot prove intent either way. What it does show is that AI-cited cuts are concentrated in a handful of months and companies, mostly in software, and that they have slowed since the spring. For the bigger question of which jobs are most exposed, read Will AI replace all jobs?
FAQ
How many layoffs in 2026 were caused by AI?
No official statistic measures layoffs caused by AI. Challenger, Gray & Christmas counts the reasons employers give: AI was cited for 120,136 announced US job cuts from January to September 2026, about 21% of the total.
Which companies cited AI in their 2026 layoffs?
In our tracker, 17 tech companies linked a 2026 layoff to AI in a filing or statement, including Cloudflare, Coinbase, Freshworks, Atlassian, SentinelOne, HubSpot and FICO.
Are AI layoffs increasing?
Not in recent months. AI-cited cuts peaked in the spring; in September only 3,961 cuts cited AI, about 9% of the month’s total, according to Challenger.
What is AI washing in layoffs?
It is the criticism that some companies cite AI to make cost cuts look strategic. When a company cites AI, it does not prove that AI tools are doing the eliminated jobs.
Sources: Challenger, Gray & Christmas September report, BLS JOLTS release, company SEC filings and statements linked in the table. Updated October 16, 2026. See something wrong? Tell us.