99% of CEOs Expect AI-Driven Layoffs in the Next Two Years
99% of CEOs Expect AI-Driven Layoffs in the Next Two Years
https://gizmodo.com/99-of-ceos-expect-ai-driven-layoffs-in-the-next-two-years-2000762994
Publish Date: 2026-05-24 15:09:00
Source Domain: gizmodo.com
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CEO Expectations for AI-Driven Layoffs: A majority of CEOs anticipate that corporate AI initiatives will lead to layoffs within the next two years, with nearly 100% acknowledging readiness for such changes as reported by Mercer’s Global Talent Trends.
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AI’s Potential to Transform Work and Concerns About Workforce Integration: While executives believe that incorporating automation can yield significant returns, only 32% think that humans and machines can optimally work together, according to the study.
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Focus on Early-Career Positions for Layoffs: Most of the anticipated AI-driven job cuts are expected to impact early-career roles, as AI is viewed as effective in automating simpler, entry-level tasks.
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Impact on Gen Z and Skepticism About AI: AI’s promises are leading to skepticism, particularly among Gen Z, who report feeling anxious and disillusioned as they face the prospects of AI replacing roles intended for their professional growth.
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Overall Worker Anxiety Over AI: Despite debates over AI’s productivity improvements, workers are experiencing significant anxiety about job displacement, leading to reduced reports of thriving at work, as seen in Mercer’s data indicating a drop from 66% in 2024 to 44% in 2026.
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Emergence of “AI Replacement Dysfunction” (AIRD): Researchers are suggesting the term “AI replacement dysfunction,” also known as AIRD, to describe the pervasive anxiety and distress workers are experiencing due to AI-driven job displacement.
