Nearly 1 in 5 workers laid off due to AI are asked to return, survey finds

Companies that have replaced employees with artificial intelligence are beginning to reconsider their workforce decisions, with new research pointing to a growing trend of AI-related rehiring.

Nearly one in five US workers surveyed said they had been laid off or replaced by AI and subsequently asked to return to their previous employers, according to a study by talent acquisition and management company SHL.

The findings highlight a potential reversal in corporate workforce strategies as organisations reassess whether replacing human employees with AI has delivered the expected operational benefits.

The survey, conducted by market research firm Propeller Insights on behalf of SHL between June and July 2026, covered more than 1,000 workers each in the US and UK. It examined employee mobility, workplace expectations and the changing relationship between workers and employers amid growing AI adoption.

The findings come amid a year of significant AI-linked workforce reductions. According to outplacement firm Challenger, Gray & Christmas, employers cited artificial intelligence as the primary reason for almost 40% of job cuts announced in May 2026.

Companies reconsider workforce cuts as AI adoption evolves

The emerging pattern, described by experts as AI rebounding, suggests some employers may have moved too quickly when restructuring roles around automation.

Lucy Beaumont, global senior vice-president of product and design at SHL, said companies were beginning to recognise they had "pulled the plug too quickly" on human employees.

Several large employers have already reversed aspects of their AI-related workforce decisions. Ford and Amazon are among the companies reported to have reconsidered staffing requirements following job reductions linked to artificial intelligence.

Separately, a March 2026 report by workforce planning company Orgvue found that 32% of organisations that had dismissed workers because of AI subsequently had to rehire staff.

The figures indicate that workforce restructuring around AI can involve more than identifying tasks suitable for automation. Organisations also need to assess the knowledge, experience and decision-making capabilities employees bring to business operations.

Joseph Fuller, professor of management practice at Harvard Business School, cautioned against treating AI implementation like a conventional software rollout.

He said companies have traditionally funded technology investments by identifying savings elsewhere, often through workforce reductions. However, AI's value can depend heavily on the knowledge employees bring when working alongside the technology.

Fuller highlighted the importance of what he described as contextual intelligence, including employees' understanding of business processes and their ability to interpret situations.

Beaumont also stressed that AI cannot fully replicate employees who understand customers, exercise judgement, demonstrate empathy and maintain human relationships.

Returning employees are demanding better pay and job security

While most surveyed US workers remained open to returning after a layoff, their expectations around employment conditions appeared to have changed.

According to SHL's research, just 6.6% of US workers said they would refuse to return to their former employers under any circumstances.

However, workers who consider returning increasingly expect stronger assurances from organisations, particularly around compensation, employment stability and the future use of AI.

The survey identified several conditions employees would want before accepting a return offer:

• Nearly 50% would require a significant pay increase to return to their previous roles.

• 43% would seek written guarantees of job security.

• 40% would want full transparency about how AI would be used in their roles.

• 30% considered an apology or acknowledgement from leadership an important condition for returning.

Beaumont said returning employees would be more demanding about what they expected from employers following an AI-related layoff.

The central concern for workers is whether the same decision could be repeated after they rejoin. Rebuilding confidence therefore requires more than simply offering former employees their jobs back.

Beaumont also warned that layoffs can fundamentally alter the psychological relationship between employers and employees.

Even when organisations rehire workers, the experience of being dismissed can affect workplace morale, productivity and engagement. Employers need to recognise the longer-term implications of workforce decisions rather than treating rehiring as a complete resolution.

Workers prioritise AI skills alongside human capabilities

As organisations continue integrating artificial intelligence into their operations, employees are increasingly investing in skills that can support their relevance in changing workplaces.

SHL's survey found that US workers were pursuing several areas of professional development:

• 44% were teaching themselves how to use AI tools.

• 42.6% were developing industry-specific skills that are difficult to replicate through AI.

• 40% were working on interpersonal and leadership capabilities.

• 38% were strengthening creative and strategic thinking.

The findings suggest employees are approaching AI adoption through a combination of technical learning and capabilities that complement automation.

Fuller identified adaptability as an important skill as AI capabilities continue to develop. He encouraged employees to work regularly with AI tools and seek opportunities to improve their understanding of the technology.

He also expects organisations to experience continued workforce adjustments as businesses reassess staffing requirements in response to technological developments.

For Beaumont, the focus should be on identifying where employees can contribute distinctive value as AI takes over more easily automated tasks.

She also called on business leaders to consider the skills employees will need, the new opportunities emerging within organisations and the scope for internal mobility.

Workforce planning needs to move beyond cost reduction

The emerging rehiring trend raises questions about how organisations evaluate the impact of AI investments on their workforce.

Reducing headcount may create immediate cost savings, but companies also need to consider the business knowledge, customer relationships and institutional experience they risk losing.

The SHL findings suggest some employers are reassessing the balance between automation and human expertise after implementing workforce reductions.

For HR leaders, this places greater importance on workforce planning, reskilling and identifying opportunities for employees to work alongside emerging technologies.

Beaumont said organisations that succeed will be those using AI to improve how they operate rather than relying on the technology primarily as a means of cutting costs.

As AI adoption accelerates, the challenge for employers will be determining which activities technology can perform independently and where human judgement remains essential.