Walmart, Microsoft, Disney Slash Jobs As Trump Tariffs, AI Push Corporate America Into Layoff Mode
Corporate America is experiencing a surge in layoffs as companies respond to economic pressures from President Donald Trump’s tariff policies and artificial intelligence adoption reshaping workforce needs.
What Happened: Procter & Gamble Co. (NYSE:PG) revealed Thursday it will eliminate 7,000 jobs over two years, representing 15% of its non-manufacturing workforce, reported CNBC. Microsoft Corp. (NASDAQ:MSFT) cut 6,000 positions globally in May, followed by an additional 300 layoffs this week, totaling approximately 3% of its workforce.
Walmart Inc. (NYSE:WMT) reduced 1,500 positions across technology and e-commerce divisions, while The Walt Disney Co. (NYSE:DIS) cut several hundred employees worldwide from film and television units. Citigroup Inc. (NYSE:C) announced 3,500 job cuts in China, primarily affecting IT services.
Amazon.com Inc. (NASDAQ:AMZN) eliminated about 100 positions in its Kindle and Goodreads divisions, adding to previous cuts across devices and services units. Nike Inc. (NYSE:NKE) reduced technology division staff, shifting work to third-party vendors.
See Also: Robinhood Says Overnight Trading Spiked After Trump’s Tariff Surprise: ‘Retail Came To The Rescue’
Why It Matters: Companies are implementing cost-cutting measures against the backdrop of President Trump’s tariff policies, with several firms citing artificial intelligence as a factor in workforce decisions. Klarna CEO Sebastian Siemiatkowski told CNBC in May that the fintech company reduced headcount by 40%, partly due to AI investments.
Microsoft's CFO Amy Hood recently told investors the company was focused on "building high-performing teams and increasing our agility by reducing layers with fewer managers." CEO Satya Nadella had earlier indicated that between 20% to 30% of the company's code was now being written using AI tools.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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