How many of the companies that have recently experienced layoffs are adapting their workforces to the efficiencies and challenges of artificial intelligence? And how many of them were using AI as an excuse to cover up other problems?
This is a question posed by a New York Times article about the trend of “AI-washing,” where companies cite AI as the cause of layoffs that could actually be caused by other factors, such as overhiring during the pandemic.
AI has been cited as the cause of more than 50,000 layoffs in 2025, and Amazon and Pinterest are among the tech companies that have recently blamed technology for workforce cuts.
However, a Forrester report released in January argued that “many companies announcing AI-related layoffs do not have mature, proven AI applications ready to fill these roles, highlighting the trend of ‘AI washing’ – cutting future AI implementations with financial incentives.”
Molly Kinder, a senior fellow at the Brookings Institution, said saying AI is causing layoffs is “a very investor-friendly message,” noting that the alternative in particular could mean acknowledging that “business is sick.”
