The online job search giant Indeed and its sister company Glassdoor have announced their intentions to lay off approximately 1,300 employees, which accounts for roughly 15% of their combined workforce. According to Recruit Holdings, the move is part of a larger plan to streamline operations and increase the integration of artificial intelligence (AI) across their platforms.
Initially, this seems like another example of tech companies “focusing on efficiency,” but it also serves as a reminder of the direction the job search experience is headed and how algorithms may be able to handle more of that than humans.
The Official Reason: Efficiency Through AI
An internal memo from CEO Chris Hyams clarified that the layoffs are not primarily related to the company’s current financial difficulties, but rather to better prepare for the future. He pointed out that the majority of the roles affected are “non-engineering functions,” particularly those that can be replaced by AI and automation.
Glassdoor, which specializes in job insights and reviews about companies, is also anticipated to harmonize with Indeed in its integration of resources, data infrastructure, and technology capabilities.
The Broader Trend: AI Reshaping Workforces
This move is in line with a growing trend across the tech industry, where companies are using AI to improve user-facing features and also to reorganize their internal teams. Whether Meta automates content moderation or IBM shifts thousands of roles to AI systems, the reasoning is similar: less human work, faster systems.
But there’s a paradox here. These platforms are meant to provide employment opportunities for individuals. The shift towards AI by platforms can be a bit unsettling, as it suggests that the future of work involves fewer workers.
Efficiency Shouldn’t Come at the Expense of Empathy
I’m not against innovation. The utilization of AI can be utilized to enhance search outcomes, decrease spam alerts, or assist job seekers in developing superior applications. It’s alarming to witness the speed and magnitude of the replacement, which is often depicted as a strategic upgrade happening behind the scenes.
Job platforms not only provide data but also serve as tools for individuals coping with stressful and life-changing situations. Embracing automation over human assistance may result in cost savings, but it could also lead to a loss of confidence.
By 2030, automation could be responsible for almost 30% of all work hours in the U.S, McKinsey reports. The use of automation is not a strategy, especially in an industry that prioritizes job placement.
Despite making sense from a business standpoint, the layoffs at Indeed and Glassdoor raise concerns about the significance of AI in the job market. We must also maintain the human qualities of empathy, transparency, and trust as we embrace smarter platforms.
