Technology companies worldwide are continuing large-scale workforce reductions in 2026 as businesses increasingly restructure operations around artificial intelligence, automation, and efficiency-focused models.
According to Layoffs.fyi, over 93,000 employees were laid off by 106 technology companies during the first 5 months of the year, compared with 124,201 layoffs recorded across all of 2025.
US-based firms accounted for more than 80,000 job cuts, while Australian companies reported around 3,800 layoffs.
The consumer technology segment saw the highest reductions, with 23 companies including Meta Platforms, Epic Games, Pinterest and Vimeo cutting 14,705 jobs.
The finance sector followed, where 17 firms eliminated more than 5,097 roles. Companies such as Nayax, Taboola, Productboard and Cars.com also reduced staff by 3% to 30%.
Freshworks will cut 11% of its global workforce, impacting nearly 500 employees, as it expands AI integration. CEO Dennis Woodside said no additional layoffs are planned and the company will operate with a leaner structure.
Freshworks expects a one-time restructuring charge of $8 million in the April-June quarter after previously cutting about 13% of staff in 2024. Its Q1 2026 operating loss narrowed to $8.1 million from $10.4 million a year earlier after a brief profit in Q4 2025 driven by one-time gains.
Coinbase announced a 14% workforce reduction. CEO Brian Armstrong linked the move to crypto market volatility and wider AI adoption. Coinbase will reduce organisational layers to five below the CEO and COO, eliminate management-only roles and move toward AI-native pods with smaller or even single-person teams.
Meanwhile, Meta Platforms CEO Mark Zuckerberg is leading another restructuring round, with reports suggesting about 8,000 jobs. Nearly 10% of the workforce, could be cut this month.
Further layoffs are also being considered for the second half after Meta eliminated around 1,500 roles in January.
Snap Inc. announced 1,000 job cuts, about 16% of its workforce, along with the removal of more than 300 vacant roles. CEO Evan Spiegel said AI advancements are reducing repetitive work while improving efficiency and services for users and advertisers.
Oracle carried out around 30,000 layoffs globally in April, including nearly 10,000 roles in India, mainly in technology functions, as it reviewed returns from AI-driven investments.
Among Indian IT firms, Tata Consultancy Services, Infosys, Wipro, HCLTech and Tech Mahindra together reported a net reduction of 6,981 employees in FY26, compared with a net addition of 12,718 employees a year earlier.
TCS led the cuts with 23,460 layoffs, while Tech Mahindra reduced 1,108 jobs. Infosys, Wipro and HCLTech continued selective hiring amid weaker demand visibility and tighter margin management.
Read More: Cognizant Plans to Lay off 12,000-15,000 Jobs Amid AI-Led Restructuring, Indian Employees to Hit Most!
The latest wave of layoffs reflects a broader transition across the global technology sector as companies increasingly prioritise AI-driven productivity, leaner workforce structures and operational efficiency amid uncertain business conditions.
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Published on: May 8, 2026, 10:22 AM IST
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