Fortune: AI layoffs are looking more and more like corporate fiction that’s masking a darker reality, Oxford Economics suggests

If over the last year or so you’ve felt your BS detector starting to blink when you hear about all the layoffs due to efficiency and automation in the corporate world, well, looks like your skepticism was warranted.

From the article…

“…the macroeconomic data does not support the idea of a structural shift in employment caused by automation. Instead, it points to a more cynical corporate strategy: “We suspect some firms are trying to dress up layoffs as a good news story rather than bad news, such as past over-hiring.”

Estimates range from between 75-100k jobs have been “lost” to hashtag#AI since 2024 but in reality, it’s broader economic symptoms and cyclical factors that are impacting hiring, and as per usual, “more of the same” is spun as innovation to hide bad hiring practices.

“The headline is, ‘It’s because of AI,’ but if you read what they actually say, they say, ‘We expect that AI will cover this work.’ Hadn’t done it. They’re just hoping. And they’re saying it because that’s what they think investors want to hear.”

From fake roles to managed headcount games, anyone who has spent any time in enterprise tech can tell you stories about open roles never meant to be filled to inflate numbers.

AI innovation job losses are just the current flavor of the same market manipulation to give the appearance of growth and simulate operational efficiency gains.

Unfortunately, the already horrible recruitment landscape only gets worse in times like these which ultimately only hurts real people looking for work.