Another roughly 1,300 people are set to lose their jobs to computers.
Indeed and Glassdoor, the hiring and public HR platforms that have transparently connected employers with online applicants, will replace six percent of its staff with AI.
Recruit Holdings, the parent company of both websites, is the latest tech firm to pivot away from white-collar labor and double down on America’s newest obsession: AI.
Executives across America have finally started to confirm that US employees will lose their jobs as corporations shift to the software.
Most of Indeed and Glassdoor’s layoffs are expected to hit US workers, particularly in research and development, HR, and sustainability teams, according to an internal memo obtained by DailyMail.com.
Indeed CEO Hisayuki ‘Deko’ Idekoba said the cuts include some leadership shakeups.
Glassdoor CEO Christian Sutherland-Wong has stepped down following the overhaul.
In an email to staff, Idekoba said that ‘AI is changing the world.’
Recruit Holdings, the parent company of Indeed and Glassdoor, said it is laying off 1,300 employees
‘We must adapt by ensuring our product delivers truly great experiences for job seekers and employers,’ he added.
Indeed, the world’s biggest job site, says it helps someone get hired every 2.2 seconds.
More than 3.3 million companies use the platform to post jobs and vet candidates. Glassdoor, meanwhile, boasts 235 million employee reviews, salary listings, and insights.
But despite its mission to connect job seekers with employers, the company couldn’t resist joining the corporate rush to replace staffers with software.
Job experts are raising red flags about how the AI shift is reshaping the entry-level job market — and what that means for recent graduates.
The earliest positions to be automated have largely been junior roles, traditionally filled by high school and college grads just starting out in the workforce.
That trend is creating what some are calling a ‘diamond-shaped’ employment structure — one where companies employ fewer executives and entry-level employees, while mid-career professionals enjoy expanded roles.
‘AI is dissolving the bottom rung of the corporate ladder, especially in economies and industries where information work dominates,’ Igancio Palomera, the CEO of Bondex, a Web3 professional platform, told DailyMail.com.
Multiple companies have laid off thousands of employees to implement new tech – this image was generated by AI software
‘The first casualties are disproportionately early-career professionals and operational generalists.’
Still, companies have a profit incentive to replace their workers. Many are racing to make the switch.
Microsoft — one of the leading firms investing in AI — is laying off thousands of employees this month as it shifts resources toward deeper investments.
Business Insider laid off 21 percent of its staff, including dozens of reporters and editors. The publication said it will soon run more AI content.
Last month, Lululemon said it was also replacing some of support center employees with AI.
Meanwhile, companies that have heavily invested in the artificial intelligence have seen massive stock rises.
Yesterday, Nvidia, the chipmaker that powers dozens of AI firms in the US, became the first company ever to earn a valuation over $4 trillion.
Companies that haven’t adopted AI tech have struggled.
Intel, once one of the most dominant chipmakers in the US, is laying off thousands of employees again, as the company tries to catch up to new tech.
Without entry-level roles, analysts say the pipeline to mid-career positions is starting to collapse.
‘Historically, entry-level roles were on-ramps into a profession where you learnt through accumulation,’ Palomera said.
‘Without serious internal repositioning, companies may experience rising attrition, passive resistance to AI adoption, or worse cultural erosion among their most loyal talent.’