LinkedIn to Layoff Hundreds in New Job Cuts. But AI Isn't the Reason

"LinkedIn is planning to cut 5% of its workforce, looking to reorganize teams. The Microsoft subsidiary currently has a headcount of 17,500 employees, according to its website, which will soon change as it begins to inform employees of terminations starting Wednesday. The platform is used for professional networking, with over 1.2 billion users as of 2026. Although many companies have cited AI as a reason for reducing headcount, sources told Reuters that this wasn't the case for LinkedIn."

""As part of our regular business planning, we've implemented organizational changes to best position ourselves for future success," a company spokesperson said. According to Microsoft's securities filings, LinkedIn saw revenue climb 12% year over year in the most recent quarter, marking an acceleration in growth heading into 2026. Microsoft, which acquired LinkedIn back in 2016, has been lowering its headcount in recent years while continuing its build-out of data centers and other infrastructure for its artificial intelligence services."

""We've been building with AI since 2007," head of product, Tomer Cohen, said in an interview with TechCrunch. "We use it heavily for connecting people... for defense [security] and how we keep trust in the ecosystem. It's one of our most powerful tools." Per a report from CyberInsider, LinkedIn began to roll out a policy update in late 2025 that allows the company to utilize user data to train generative AI models, dating back to LinkedIn's launch in 2003."

"The data will remain in backlogs unless users opt out, with the intent to better understand the customer base. LinkedIn's Chief Executive Officer, Daniel Shapero, told employees in a memo on Wednesday that the reductions will impact a "

LinkedIn plans to reduce its workforce by about 5% and reorganize teams. The Microsoft subsidiary has about 17,500 employees and will begin informing employees of terminations starting Wednesday. LinkedIn has more than 1.2 billion users and has been using AI tools such as AI-assisted search and automated message follow-ups. Company officials say AI has been part of LinkedIn since its early years, including security and trust functions. Microsoft has been lowering headcount in recent years while investing in data centers and infrastructure for AI services. LinkedIn revenue rose 12% year over year in the most recent quarter, showing accelerating growth into 2026. A late-2025 policy update allows use of user data to train generative AI models unless users opt out.

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