The trend of layoffs in the tech sector shows no signs of abating in 2025. Microsoft, Salesforce, Oracle, and Tata Consultancy Services (TCS) have all announced substantial workforce reductions as artificial intelligence transforms business processes and employment structures. Industry tracker Layoffs.fyi reports that over 83,000 workers have already been laid off across 194 companies this year, highlighting the impact of automation on the workforce. In new disclosures to state regulators, Salesforce and Oracle indicated they would cut hundreds of jobs in the United States. Oracle confirmed the elimination of more than 250 positions in Redwood City, Pleasanton, and Santa Clara, in addition to 101 jobs in Seattle.
Salesforce plans to cut over 260 jobs in San Francisco and nearly 100 in Seattle, with these layoffs commencing on November 3. The company attributed its decision to the success of its AI platform, Agentforce. A spokesperson stated, “At the start of this year we deployed help.agentforce.com. Due to the efficiencies gained from Agentforce, we’ve seen a decline in support cases, eliminating the need to backfill support engineer roles. Hundreds of employees have been successfully redeployed into areas such as professional services, sales, and customer success.” Microsoft has made the most significant cuts among tech giants this year, letting go of over 15,000 employees since May across its product, engineering, sales, and gaming divisions, despite strong revenue growth.
Previously, Microsoft cut 10,000 jobs in 2023, but the latest restructuring reflects a strategic shift towards AI initiatives, with more than $80 billion already invested in AI infrastructure. TCS also reported layoffs, reducing its workforce by approximately 12,000 roles, or about 2 percent of its total employees. This announcement in July surprised many, as the Indian IT sector was previously perceived as resistant to large layoffs. TCS stated that this decision aligns with its goal of building a “future-ready organization” by investing in AI, next-gen infrastructure, and new markets. The company’s controversial “bench policy”—which limits the duration employees can remain unassigned—has sparked further discussion. Layoffs are spreading across the tech landscape.
Intel is preparing one of the largest workforce reductions this year, aiming to cut 25,000 roles by the end of 2025. Meta has reduced its workforce by around 3,600 employees, with CEO Mark Zuckerberg referring to this as “non-regrettable attrition.” Google has also conducted multiple rounds of layoffs across various departments as it emphasizes AI-first strategies. Amazon has been more conservative but has still cut hundreds of jobs, particularly within AWS. Smaller companies are not immune, with Scale AI laying off 200 full-time employees and 500 contractors, while cybersecurity firm CrowdStrike eliminated around 500 positions to cut costs. As the adoption of AI accelerates, tech firms are undergoing restructuring, leading to a future where efficiency often results in job losses.