Microsoft-owned LinkedIn is cutting approximately 5% of its global workforce across four divisions, a reorganization that arrives at an unusual time: the company is experiencing its fastest growth in years. The job cuts, first reported by Reuters, amount to roughly 875 roles based on LinkedIn's stated headcount of over 17,500. Affected teams include the Global Business Organization, marketing, engineering, and product.
A LinkedIn spokesperson disputed the 5% figure but declined to provide the actual number, describing the move as "organizational changes" to position the company for "future success."
CEO's Internal Email
CEO Daniel Shapero announced the news in an internal email sent at 7 a.m. Pacific, telling staff the company needs to "reinvent how we work" with leaner teams focused on top priorities. Impacted employees received a calendar invite within the hour. According to Business Insider, which obtained the memo, Shapero stated that LinkedIn will also reduce spending on marketing campaigns, vendor contracts, customer events, and underutilized office space.
Contrast with Revenue Growth
The timing of the layoffs is awkward. Microsoft's most recent earnings report showed LinkedIn revenue climbing 12% year-over-year, indicating a clear pickup in momentum for 2026. The Sunnyvale-based platform operates a broad business encompassing recruiting tools, premium subscriptions, advertising, and learning—none of which appear broken on paper. Shapero's memo references rising infrastructure costs and the need to fund longer-term investments, without specifying any particular product as the reason.
AI's Role in the Cuts
Shapero's email does not mention artificial intelligence even once. One source told Reuters that AI automation was not behind the headcount decision. However, the marketing team's follow-up memo, sent by chief marketing and strategy officer Jessica Jensen, states that LinkedIn will "embrace new AI-enabled tools and workflows" to make human work go "further, faster." Jensen also highlighted reduced paid media spend and a tighter geographic focus on the US and UK. The marketing memo points to accelerating LMS growth, agentic hiring solutions, and momentum with Premium and Small Business as the bets the team will fund instead.
Broader Big Tech Pattern
The optics align with a wider pattern across Big Tech. Cisco announced its own AI-driven restructuring on Wednesday, putting around 4,000 jobs at risk. Coinbase and Block both cited AI productivity gains for layoffs earlier in 2026. Microsoft itself has cut nearly 7,000 roles this year and recently rolled out its first voluntary retirement buyouts in company history.
LinkedIn, meanwhile, is leaning further into AI on the product side, having launched a marketplace where people earn money training chatbots in fields ranging from coding to nursing. This creates a pointed contrast: the platform millions of professionals use to find new jobs is now conducting layoffs while building tools that could automate parts of that very work.
Full Memo from CEO Daniel Shapero
"Team,
Economic opportunity is one of the societal issues of our time, and LinkedIn has been and will continue to be the platform that professionals and companies turn to as they navigate the changing world of work. For us to meet this moment, we must ready ourselves to deliver a step change in impact across our products, businesses, and platforms, while continuing to operate more profitably. We need to reinvent how we work, with agile teams focused on our highest priorities, and by shifting investments toward areas such as infrastructure to fulfill our mission and vision over the long term. This requires hard prioritization and tradeoffs.
Today I'm sharing the difficult decision that I, along with our leadership team, have made to reduce roles across GBO, Marketing, Engineering and Product. If you are impacted, or proposed to be impacted in EMEA & APAC, by these changes, you will receive a calendar invite to a notification meeting within the next hour. For impacted teams, you'll learn more about your org-specific information from your leaders shortly, and updates will be added to go/CompanyExchange throughout today.
In addition to role reductions, we are scaling back investments in some areas including marketing campaigns, vendor spend, customer events, and underutilized office space, so we can focus teams on priorities that have the broadest impact with the highest ROI. You will receive details about these changes from respective functional leaders.
I want to acknowledge and thank those who will be leaving LinkedIn. You have helped build LinkedIn's culture and platform into what it is today, and I hope you are proud of the lasting impact your work will continue to have on our members, customers, and colleagues.
For those staying, first and foremost, I would like to invite you to support our impacted colleagues. We will move forward together with focus and clear priorities to reach our potential as the platform that the world's professionals and companies increasingly turn to.
Thank you, again, to our teammates who are departing, and to everyone across LinkedIn who continues to show up and support each other.
Dan
BCC: All Global Employees"
About the Author
The TOI Tech Desk is a dedicated team of journalists committed to delivering the latest and most relevant news from the world of technology to readers of The Times of India. The TOI Tech Desk’s news coverage spans a wide spectrum across gadget launches, gadget reviews, trends, in-depth analysis, exclusive reports and breaking stories that impact technology and the digital universe. Be it how-tos or the latest happenings in AI, cybersecurity, personal gadgets, platforms like WhatsApp, Instagram, Facebook and more; the TOI Tech Desk brings the news with accuracy and authenticity.



