- The technology sector layoffs increased from 98,000 (3.9%) to 152,000 (5.7%) in one month
- Software development and white collar work could be the most at risk
- The roles in person and qualified remain competitive
New Wall Street Journal Reports have revealed an alarming trend within the technological sector – as well as the skeptics planned years ago, artificial intelligence seems to move human workers and leading to higher unemployment rates.
The report revealed that unemployment rates in the IT sector increased from 3.9% in December to 5.7% in January, or from 98,000 to 152,000 Janco Associates of the US Labor Department.
More broadly, 143,000 new jobs were added in January 2025 to the American economy, although a slower than optimal pace.
AI costs computer work
In fact, white collars and knowledge workers are considered to be the most at risk with regard to the movement of employment induced by AI. The CEO of Jaco Associates, Victor Janulaitis, commented: “The jobs are eliminated in the computer function which are routine and banal, such as reports, office administration.”
Companies also reduce their dependence on programmers and systems designers in the hope that artificial intelligence can achieve new cost savings. The number of software development job stations fell 8.5% in annual sliding in January 2025.
Although the model of last year was considerably less than 2023 when layoffs.
Recent notable job losses include Sonos (12% of its workforce), Meta (5%), Microsoft, Amazon and Google.
The report also suggests that new investments in business in artificial intelligence could serve as an early sign that future job features could arise – a trend described as a “avoidance of costs”.
However, although some jobs can be in danger, others remain in high demand. The report reveals that certain roles in person and qualified are more requested than many positions in white collar – the element “ in person ” of this trend is particularly interesting, given the generalized mandates of return to the office – -pandemia.
This is not all bad news – Janulaitis revealed that the January figures, which brush a negative table for the coming year, could indeed be artificially inflated by many companies that seek to implement the reduction measures This year’s costs, rather than later.
Be that as it may, with 10,800 other job cuts organized during the first five weeks of 2025 in the industry, many workers are faced with an uncertain future.
