Recruit Holdings to Cut Jobs Amid AI Transition
Recruit Holdings, the Japanese company that owns job platforms like Indeed and Glassdoor, plans to lay off around 1,300 employees. This reduction represents about 6% of the staff in its human resources technology division. The layoffs will mainly take place in the United States and will affect several departments, including research and development, growth, and sustainability teams across multiple locations.
The company’s CEO, Hisayuki “Deko” Idekoba, has not provided specific reasons for these cuts, but he has previously noted the significant changes brought on by artificial intelligence (AI). He emphasized that AI is reshaping the job market and that the company needs to adapt to enhance the experience for both job seekers and employers. This move is similar to actions taken by other large tech firms like Meta and Microsoft, which are prioritizing AI initiatives as they face economic pressures.
As part of these changes, Recruit Holdings will merge Glassdoor’s operations with Indeed. This integration means that Glassdoor’s CEO, Christian Sutherland-Wong, will leave his position on October 1. Furthermore, LaFawn Davis, Indeed’s chief people and sustainability officer, will step down on September 1, and Ayano Senaha, the company’s COO, will take over her duties. Recruit’s involvement with Indeed began in 2012, followed by its acquisition of Glassdoor in 2018. These moves reflect a larger strategy to consolidate operations and focus on key business areas.
This trend of layoffs is not isolated to Recruit Holdings, as many tech companies continue to downsize in light of AI advancements and economic challenges. Firms like Automattic and TikTok have also announced significant cuts. Despite job reductions in various departments, many companies are concentrating their efforts on AI-related positions, underscoring the growing role of AI in the workplace.
In 2025, the total number of layoffs in the tech sector has exceeded 100,000 worldwide. Major companies like IBM, Intel, and Microsoft are continuing to reduce their workforces as they adapt to evolving market needs while emphasizing AI integration. For example, Microsoft has announced plans to eliminate 9,100 jobs, affecting divisions such as Xbox and gaming.
Similarly, IBM has let go of about 8,000 employees, primarily from its Human Resources division, as the company shifts towards more automated processes. This trend illustrates how AI is not only changing job functions but also influencing the skills that are now in demand in the tech industry.
As these significant changes unfold, the impact of AI on employment and the structure of tech companies will likely continue to evolve.
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Published By: Nandini Yadav
Published On: July 11, 2025
