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Economist Warns of Rising Layoffs Due to AI Impact on Job Market

businessinsider.comBy It envisioned a scenario in which AI causes unemployment to rise above 10%, with widespread white-collar job losses fueling a stock-market crash. While the jobless rate has held steady at around 4%, markets are cognizant that the labor market is on a weaker footing, with hiring trending lower while layoffs crept higher in the past year. Employers announced over 108,000 planned job cuts at the start of the year, according to the latest Challenger, Gray & Christmas report, marking the worst January for layoffs since the Great Financial Crisis.Thursday, March 5, 20261 min readCurated by JobGoneToAI
A top economist says more layoffs are likely as the job market nears a tipping point with AI

— businessinsider.com

Key Takeaway

A top economist predicts that AI will contribute to rising unemployment, potentially exceeding 10%, and lead to significant white-collar job losses. The job market is showing signs of weakness with increasing layoffs and decreasing hiring.

JobGoneToAI Analysis

AI-driven job displacement continues to reshape industries worldwide. This report contributes to our ongoing documentation of how companies are restructuring their workforces in response to advances in artificial intelligence. Every data point in our tracker is verified against company announcements, SEC filings, or coverage from trusted publications before inclusion.

The data in this report feeds into our AI Layoff Tracker, which provides the most comprehensive, publicly accessible dataset of AI-attributed workforce changes. If you work in a role affected by these changes, check our Job Risk Index for data on how AI is affecting specific occupations, and our Career Survival Guide for actionable steps to navigate this transition.

From the Original Report

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Original Source

Read original reporting at businessinsider.com

JobGoneToAI curates, verifies, and adds original analysis to third-party reporting. We link to the original source so you can verify the facts yourself.

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