Former President Donald Trump recently defended the rise of artificial intelligence, stating that AI has been "amazing" for the US economy. His comments come despite growing concerns from many American families about future job losses caused by automation.
Tech Layoffs Surge Amid AI Growth
A New York Post report in April revealed that tech layoffs in the United States exceeded 52,000 in the first three months of 2026, with many attributed to AI. When asked by a reporter what he would say to families worried their children might not have jobs because of AI, Trump replied, "I'll tell you, AI's been amazing, because right now, we have more jobs, more people working right now in the United States by far than we ever had before." Trump also pointed to stock market gains and the broader economy while discussing the impact of AI and other global events.
AI Blamed for Thousands of Tech Layoffs
Citing data from executive coaching firm Challenger, Gray & Christmas, the New York Post report indicated that the US tech sector recorded 52,050 layoffs during the first quarter of 2026. This marked a 40% increase compared to the same period last year. The report said AI was increasingly being cited as a reason for job cuts. In March alone, employers reportedly blamed AI for 15,341 layoffs, accounting for around 25% of all tech sector job losses that month.
Major Companies Announce Layoffs
Several major technology companies have already announced layoffs this year. Oracle reportedly cut thousands of jobs while increasing spending on AI projects. Amazon earlier announced plans to cut 16,000 corporate jobs after previous layoffs affecting another 14,000 workers. The company reportedly suggested that AI tools would take over some of those tasks. Dell cut around 11,000 jobs in the first quarter alone, making it one of the largest tech layoffs by a single company during the period.
At Block, CEO Jack Dorsey linked a recent round of 4,000 layoffs to changes driven by AI and smaller teams. "We're already seeing that the intelligence tools we're creating and using, paired with smaller and flatter teams, are enabling a new way of working," Dorsey wrote on X. Facebook-parent Meta has also slashed thousands of roles, impacting 10% of its workforce. The social media giant also moved 7,000 employees to AI roles this week.
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