Every industry faces job cuts , especially in tumultuous economic times, new technologies replacing existing jobs, and so on. Unfortunately, it looks like the tech sector is experiencing global layoffs, with an estimation of nearly 245,000 jobs lost in 2025 alone.
Global layoffs affected the tech sector in 2025
According to a recent report from RationalFX , they estimated that about 245,000 people experienced layoffs on a global scale in the tech sector in 2025. Based on their figures, the US was the most affected, with a little over 170,000 jobs lost. This accounts for approximately 69.7% of all global tech layoffs in 2025.
India also experienced pretty big layoffs, with an estimated 19,000 jobs lost in 2025. This was followed by Japan at a little over 11,000, Ireland, and Switzerland, rounding out the top five countries with the biggest layoffs.
What’s happening?
So, what’s happening, and why are jobs in the tech sector getting cut? There are a number of reasons. Firstly, RationalFX suggests that this is part of a post-pandemic correction. During the COVID-19 pandemic, while jobs were lost, there were a lot of jobs created as well. This is due to a rise in demand for work-from-home solutions, entertainment, food delivery, and so on.
However, following the end of the pandemic, many tech companies realized they had overhired and are working towards correcting that. Another reason why we’re seeing jobs cut is because of, you guessed it, AI .
AI allows users to automate and complete tasks in minutes—tasks that would have taken a human hours, days, or weeks. This means that companies can dump massive reports into AI and get summaries almost instantly. They can also use it to generate reports, make predictions, and identify patterns. This makes certain positions redundant . We’re also seeing how AI can generate impressive images and videos with a few simple prompts.
But this isn’t necessarily doom and gloom. Like they say, when a door closes, another opens. When smartphones were created, suddenly being an app developer became a more viable career. Thanks to social media, being a content creator is also now a career for some. We’re not sure what the future holds for jobs in the tech sector , so we’ll have to wait and see.
