Quarter of jobs cut across U.S. in March were because of AI, new report shows
A new report shows layoffs rose 25% from February to March of this year, and artificial intelligence is cited in a quarter of the announcements.
According to a monthly report by Challenger, Gray & Christmas, an outplacement and coaching firm, 60,620 jobs were cut in March, and 15,341 of those were due to AI.
They track PR notices, government filings, and financial disclosures to see which industries are cutting jobs and how many.
“A lot of people are referring to this as a low fire, low hire environment,” Challenger, Gray and Christmas CRO Andy Challenger said. “There’s not a ton of activity going on in the labor market, but at the same time, the whole world is watching us labor markets really closely for what they signal in the overall global economy.”
So far this year, the technology, transportation, and health care/health products industries have announced the most layoffs, with technology leading at 52,050 job cuts.
“That’s the first industry in the economy that is being significantly disrupted with artificial intelligence, whether they’re replacing jobs altogether or they’re pivoting their organizations to focus more on artificial intelligence as a new technology,” Challenger said.
The job market in Connecticut paints a different picture.
There are 68,000 job openings in the state, with hospitality, healthcare, and management among the most in-demand careers, according to a report from the Connecticut Business and Industry Association.
To fill those jobs, the state wants to provide more training for high schoolers.
“There is still a gap between what the industry and market needs and what we’re actually offering in terms of training and resources for students,” CBIA Foundation for Economic Growth and Opportunity director Dustin Nord said.
Gov. Ned Lamont announced a pathway commission to recommend new programs and ways for students to directly connect with companies hiring.
“That includes internships, that includes dual enrollment. Many people peel off after high school, maybe you get a certificate, get back to work,” Lamont said.
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