A new survey from Resume.org reveals that 58% of U.S. companies plan to lay off employees in 2026, underscoring mounting economic uncertainty and the growing influence of AI on workforce strategy. Conducted in September 2025 among 1,000 business leaders, the survey highlights how layoffs and hiring slowdowns are reshaping the labor market.
So far in 2025, 39% of companies have already conducted layoffs, and 35% say more cuts are imminent before year-end. Economic conditions are the top driver, cited by 55% of organizations planning reductions, followed by tariffs and trade policy concerns (39%) and AI adoption (35%).
Hiring Slows as Layoffs Rise
The survey also paints a sobering picture for hiring. Nine percent of companies have implemented hiring freezes, while 41% have reduced hiring. Only 9% report expanding their workforce. Among those scaling back, 63% point to economic pressures, 38% to trade uncertainty, 35% to declining revenue, and 22% to AI reducing staffing needs.
Certain employee groups are more vulnerable. High-salary workers (48%) and those lacking AI-related skills (46%) face the highest risk. Recent hires (42%) and entry-level employees (41%) are also targeted. Demographic factors play a role: younger employees (30%), older workers (29%), and H1B visa holders (19%) are perceived as at greater risk.
AI’s Growing Role in Workforce Transformation
AI adoption continues to accelerate. In 2025, 27% of companies significantly increased AI investment, while 41% report moderate growth. Already, 28% of companies say AI has replaced jobs, and by the end of 2026, 37% expect roles to be automated. Companies are actively restructuring teams to prioritize automation, signaling a fundamental shift in workforce planning.
“AI adoption is going to reshape the job market faster than most people expect,” said Kara Dennison, head of career advising at Resume.org. “To future-proof their careers, professionals should be building both digital fluency and human skills that AI can’t replicate.”
The survey, conducted online via Pollfish, targeted management-level respondents with direct knowledge of staffing and employment plans. Its findings highlight the dual pressures facing today’s workforce: economic volatility and rapid technological change, with AI at the forefront of both opportunity and risk.
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