TLDRocket
26 July 2026
The AI industry is experiencing a reckoning between hiring and firing, with Monday.com becoming the latest casualty in a wave of workforce reshuffling. The work-management platform laid off 600 employees—20 percent of its staff—to fund what it called an AI-driven product transformation, joining at least 20 other major tech firms that have announced significant cuts while funneling capital toward AI infrastructure. Since January 2026, U.S. tech companies have eliminated nearly 140,000 jobs, with Amazon, Oracle, Meta, and Microsoft accounting for roughly half of those losses as they redirect spending toward data center buildouts. Paradoxically, companies citing AI in their layoff announcements have underperformed the Nasdaq by nearly 10 percent in the month following their announcements—a market signal that investors remain skeptical of the efficiency gains these reorganizations promise.
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