Artificial intelligence seems to be taking over not just the tech industry but also the world, with the growing investment and focus companies seem to be placing on technology. Many tech giants have not only undergone restructuring amidst the increasing emphasis on automated intelligence, but have also made this a top priority and goal of the company. Many are shifting the resources to departments now dedicated explicitly to automation, slowly taking on roles that were otherwise done by the workforce. Microsoft, Google, and IBM are prime examples of this, and it seems that this trend does not just stop at the tech companies but is also now extending to job hiring websites, which seem to be laying off employees due to AI.
Indeed and Glassdoor join wave of tech layoffs, citing AI focus and automation as key reasons for workforce cuts
Recruit Holdings is the parent company of Indeed and Glassdoor and is said to be cutting off around 1,300 jobs, which accounts for roughly 6 percent of the HR technology workforce, as the company pivots in the direction of Artificial Intelligence. The decision was laid out in an internal email sent out as reported by Recruit Holdings and Indeed CEO Hisayuki "Deko" Idekoba, reported by Business Insider, which stated that the jobs being impacted primarily were based in the U.S., which include operations, research, and even sustainability.
The CEO, when explaining their reason for moving in this direction, cited AI and how it is transforming the world, creating the need for companies to adapt to the changing needs and trends to remain competitive. The company is said to be sending out notices to employees that are going to be laid off on Thursday, and even went on to give a heads-up about more regions to be affected amidst the growing focus on AI initiatives. Recruit Holdings aims to transform the way jobs are searched and how employers manage recruitment.
As part of its restructuring efforts, the company intends to merge Glassdoor operations into Indeed and as a result, Glassdoor CEO Chrisitian Sutherland-Wong would be stepping down from his role along with LaFawn Devis, the Chief People and Sustainability Officer at Indeed, highlighting how even many of the long-serving leaders have not been spared from the overhaul move. Recruit Holdings acquired Indeed back in 2012 and later on went on to take over Glassdoor in 2018. There is still ambiguity regarding whether the job cuts would be equally divided or whether one of the two would be more on the suffering end.
Nonetheless, the workforce cutdown is not limited to these companies alone and represents a larger trend. Many other tech firms have also stepped up their efforts towards AI while trying to ensure cost optimization.
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