- Companies and federal agencies may have to report AI-related job losses
- There were more federal layoffs than tech layoffs in 2025
- The new law is supported by Republican and Democratic senators
A new proposed AI Job Impact Clarity Act, raised by Senators Mark Warner (D-VA) and Josh Hawley (R-MO), would require companies to disclose details about AI-related layoffs if it becomes law.
Federal agencies, publicly traded companies and some private companies would be required to file quarterly reports with the Department of Labor on these workforce changes.
But, in favor of greater transparency not on job losses but also on how companies support their workers, the proposed law adds even more reporting suggestions.
This law could require companies to report the effects of AI on workers.
The Clarify AI Employment Impacts Act specifies that companies must report job eliminations or displacements and new hires attributed to AI, as well as workers trained using AI and unfilled positions through automated procedures.
Unlisted companies could be included based on their workforce size, revenue, industry or impact on regional/national employment – this would be decided within 180 days.
“Artificial intelligence is already replacing American workers, and experts predict that AI could increase unemployment by as much as 10 to 20 percent over the next five years,” Senator Hawley noted.
The law would require organizations to post reports and underlying data on the Bureau of Labor Statistics website within 60 days of each quarter.
“This bipartisan legislation will finally give us a clear picture of the impact of AI on the workforce… Armed with this information, we can ensure that AI is driving opportunity instead of leaving workers behind,” added Senator Warner.
This good news comes amid continued AI-related employment impacts – although tech sector layoffs slowed in 2025 (112,732) compared to 2023 (264,220), a total of 182,528 layoffs were tracked at the federal level (via layoffs.fyi).
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