By Eric Berger
Publication Date: 2026-02-08 16:00:00
OOver the past year, U.S. business leaders have often justified layoffs by saying the jobs are no longer needed because artificial intelligence has made their companies more efficient and replaced people with computers.
However, some economists and technology analysts have expressed skepticism about such justifications, believing instead that such staff cuts are caused by factors such as the impact of tariffs, overstaffing during the Covid-19 pandemic and perhaps simple profit maximization.
In short, the CEOs are allegedly “AI washing”.
“You can say, ‘We’re integrating the latest technology into our business processes, so we’re at the forefront of technology, and we need to let these people go,'” said Fabian Stephany, a research lecturer at the Oxford Internet Institute.
AI was cited as the reason for more than 54,000 layoffs in 2025, according to a December report from consulting firm Challenger, Gray & Christmas.
In January, Amazon alone…
