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53% of laid-off employees believe AI contributed to job losses: Report

• By Samriddhi Srivastava
53% of laid-off employees believe AI contributed to job losses: Report

More than half of laid-off workers in the United States believe artificial intelligence or automation played a role in their job loss, yet most say employers never explicitly communicated it, according to the 2026 AI Layoffs Report by Resume Genius.

The survey, which gathered responses from 1,000 US workers laid off within the past two years, found that 53% believe AI contributed to their layoff, while only 22% said their employer directly confirmed automation had replaced their role. Another 31% suspect AI was involved but received no formal confirmation.

The findings highlight growing uncertainty around how organisations communicate workforce reductions as businesses increasingly adopt AI and automation technologies.

Perception of AI-driven layoffs exceeds employer disclosures

The report points to a notable disconnect between what workers believe caused their job loss and what employers communicated during the layoff process.

Among respondents:

  • 53% believe AI or automation played a role in their layoff
  • 22% received direct confirmation from employers
  • 31% suspect AI was involved but were not told so
  • 47% do not believe AI contributed to their job loss

According to the report, workers who suspect AI was involved outnumber those who received direct confirmation by nine percentage points.

Geoff Scott, Senior Hiring Manager at Resume Genius, said employers often frame layoffs around broader business realities rather than a single factor.

"It’s understandable that employers use broad terms like restructuring or cost cutting because layoffs rarely have a single cause. However, if AI or automation played a meaningful role in eliminating someone’s position, employers should be upfront about it. Workers deserve enough context to understand why their job disappeared and what that could mean for their next career move."

Younger workers are more likely to link layoffs to automation

The report found a clear generational divide in perceptions of AI-related job displacement.

Key findings include:

  • 66% of Gen Z respondents believe automation contributed to their layoff
  • 52% of Millennials share the same view
  • 46% of Gen X workers believe AI played a role

The difference is driven largely by unconfirmed suspicions rather than direct employer disclosures.

Among workers who were not explicitly told AI was involved:

  • 39% of Gen Z employees suspect automation contributed to their layoff
  • 31% of Millennials hold the same belief
  • 25% of Gen X workers report similar concerns

The data suggests younger workers may be more sensitive to the impact of emerging technologies on employment, even when organisations do not directly reference AI during workforce reductions.

Cost-cutting remains the most common explanation

While employees increasingly associate layoffs with automation, employers most frequently cited financial and organisational factors.

According to Resume Genius, the most commonly reported explanations were:

  • Company-wide cost cutting or budget reductions (37%)
  • Restructuring or reorganisation (31%)
  • Downsizing linked to economic conditions (27%)
  • Department or team elimination (25%)
  • Role replaced or eliminated by AI (15%)

Only 15% of respondents said their employer directly stated that AI had replaced or eliminated their position.

The findings indicate organisations continue to frame layoffs primarily around operational and financial priorities rather than technological substitution.

Technology and finance workers report the strongest AI concerns

Perceptions of AI-related job displacement vary significantly across industries.

The report found the highest levels of concern among workers in sectors already experiencing rapid automation and digital transformation.

Workers who believe AI contributed to their layoff include:

  • Technology: 75%
  • Finance: 73%
  • Business and Professional Services: 72%
  • Healthcare: 46%
  • Manufacturing and Construction: 44%
  • Retail and Hospitality: 42%
  • Education: 42%

The concentration of AI-related concerns in technology, finance and professional services reflects the growing adoption of generative AI tools and automation platforms across knowledge-based work.

Transparency may become a growing workforce issue

The report arrives as organisations continue to invest heavily in AI while employees seek greater clarity around how the technology is reshaping jobs and workforce structures.

Although the survey does not establish whether AI directly caused layoffs in every case, it highlights a growing perception among workers that automation is influencing employment decisions. The gap between employer messaging and employee beliefs could become an increasingly important workforce issue as AI adoption accelerates across industries.

For employers, the findings suggest communication may become as important as technology strategy in maintaining trust during periods of organisational change.