In the age of AI, CEOs quietly signal that layoffs are a badge of honor | Fortune
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In the age of AI, CEOs quietly signal that layoffs are a badge of honor | Fortune
"Good morning. The wave of layoff announcements over the past few weeks is telling us something, most importantly something that isn't as easily measured as the number of jobs eliminated. It's a change in the business environment. We can see it especially in big-company culture, a shift in what is OK and even virtuous to say out loud. Just maybe it's signaling a new norm for employment and leadership. At its foundation, of course, is AI, regardless of whether companies say so directly."
"Over the past two weeks we've learned that Amazon will eliminate 14,000 jobs with plans to eliminate more. Target will cut 1,800 corporate jobs, the company's biggest layoff in a decade. United Parcel Service reported it had eliminated a staggering 48,000 jobs so far this year. Verizon will lay off 15,000. Nestle said it will cut 16,000 jobs, mostly white-collar, in the next two years. Why all those mega-layoff announcements in just a few weeks?"
Major corporations including Amazon, Target, UPS, Verizon, and Nestle announced large-scale layoffs, many targeting white-collar roles and totaling tens of thousands of positions. The pattern of simultaneous mega-layoff announcements cannot be fully explained by near-term economic shifts or typical seasonal reductions. Executives increasingly cite artificial intelligence and efficiency gains, using language like "removing layers" to justify cuts and signal organizational change. That rhetoric is shifting corporate culture toward acceptance of workforce replacement as pragmatic. Separately, the White House is considering reducing tariffs on food imports, and financial markets reacted with notable declines amid the broader news flow.
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