Employment across industries where AI is widely used is shrinking. In these sectors, they have lost an average of about 11,000 positions per month over the past three months

These figures, shared by The Kobeissi Letter, point to one of the clearest signs that automation is reshaping office employment

Hiring reverses in industries affected by AI.

The Kobeissi Letter states that since mid-2023, these sectors have seen net hiring increase for only two months.

This affected group covers management consulting businesses, graphic design work, administrative work, call center hotlines, and computer systems.

This group also includes software companies, website searches, data processing, film production, broadcasting, printing, and document preparation work.

This phenomenon is severe because the same industry once saw its highest hiring, up to 55,000 positions per month, during the peak in 2022, before the trend turned negative in 2023.

The impact of AI on the labor market is becoming clearer than ever. Read on.

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This sectoral data aligns with the continuously increasing wave of layoffs. AI is the cause of cutting 38,579 positions in May, the highest monthly total ever recorded.

May is the third consecutive month in which the numbers have risen. AI is responsible for the layoffs of 87,714 jobs in 2026, or about 22% of the total layoffs from the previous month.

This figure surpasses the full-year 2025 total of 54,836 positions, even though several months remain. Although many experts disagree with the idea that job losses are caused by AI, a Gallup survey found a link between the use of AI and the likelihood of being laid off.

Data suggests that most employees who are laid off are not even AI users. The clearest difference is within the technology line: employees who use AI less than once per month are more likely to be laid off than those who use it at least once per month, by as much as three times.

Whether the situation will worsen depends on the next month. However, these early signals clearly indicate that AI is changing the job market, and employees who adapt the slowest to AI are at the highest risk of being cut.

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