Tech Layoffs 2026: Over 45,000 Roles Have Been Cut by Companies Globally; Hiring Slow
Global tech layoffs exceeded 45,000 in early 2026, led by 16,000 cuts at Amazon. The US accounts for 68% of losses as firms like Block and Salesforce restructure for AI. While traditional roles face pressure, new opportunities are emerging in AI infrastructure, particularly within India’s growing Global Capability Centres.
Mumbai, March 20: Globally, tech sector has recorded more than 45,000 job cuts in the first few months of 2026, according to recent data from RationalFX and industry trackers. The surge in layoffs indicates that major firms are continuing to restructure their workforces, shifting away from the rapid hiring seen in previous years toward leaner, automation-driven operations. While many companies report strong revenue, executives are increasingly prioritising investment in artificial intelligence over traditional headcount.
The United States remains the primary driver of this trend, accounting for roughly 68% of total job losses. Amazon led the reductions by announcing 16,000 layoffs in January as part of a broader effort to flatten management layers. Other significant cuts came from companies like Block, which reduced its staff by 40%, and Salesforce, which trimmed approximately 1,000 roles while reorganising around AI-driven products. Goldman Sachs to Shift From Large-Scale Layoffs to Rolling Staff Reductions Starting April 2026.
Tech Layoffs Wave in 2026
Unlike earlier waves of layoffs triggered by economic instability, the 2026 reductions appear more structural and strategic. Analysis suggests that approximately 61% of all tech job cuts this year explicitly cite the adoption of AI as a primary factor. Companies are increasingly consolidating teams where tasks can be handled more efficiently by automated systems, a move described by industry leaders as an essential pivot for the "AI era."
This shift is particularly evident in specialised and senior roles that were previously considered secure. For instance, Project management firm Atlassian reduced its workforce by 10% in March, with leadership noting that the rise of AI has fundamentally changed the mix of skills required for modern software engineering.
Outside the US, the impact of tech downsizing is being felt across diverse markets. In India, layoffs reached 1,520 in the early months of the year, affecting both high-growth startups and established IT services firms. The domestic market has seen a doubling of applicants per open role since 2022, creating an intensely competitive environment for displaced professionals.
Other regions reporting notable job cuts include Australia with 2,650, Sweden with 1,923, and the Netherlands with roughly 1,700. In Israel’s startup ecosystem, 1,539 layoffs were recorded as venture capital funding remains selective. Even in Singapore, a major Asian tech hub, more than 1,000 roles were eliminated, reflecting a cautious hiring environment across the continent.
Outlook for the Remainder of 2026
Industry analysts predict that workforce volatility may persist throughout the year. While mass layoffs are making headlines, there is a parallel growth in roles dedicated to AI infrastructure and data science. Global Capability Centres (GCCs) in India, for example, are expected to add over 1,20,000 net new roles by the end of 2026, primarily in AI-focused functions. Goldman Sachs to Shift From Large-Scale Layoffs to Rolling Staff Reductions Starting April 2026.
For the broader workforce, the market has become significantly more selective. Companies are taking longer to fill open positions and are focusing heavily on candidates with advanced technical expertise. As the industry transitions, the total number of layoffs for 2026 is currently projected to surpass the 2,45,000 recorded in 2025 if the current pace continues.
(The above story first appeared on LatestLY on Mar 20, 2026 01:46 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).