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Let's not sugarcoat it. AI is taking jobs, and if it hasn't affected yours yet, it might soon. But here's the good news: the future belongs to those who adapt.

A new survey of laid-off workers and hiring managers reveals that people are reskilling, employers are changing how they hire, and AI fluency is no longer a nice-to-have (it's the new baseline). Whether you're reentering the job market or building a team that's ready for change, this is your wake-up call. The workforce is rebooting. Are you?

Key Takeaways

• Nearly 1 in 5 laid-off workers (19%) believe AI adoption contributed to their job loss.
• Since being laid off, over 1 in 4 workers (26%) have explored AI tools or training, and nearly 1 in 5 (17%) have enrolled in a course or bootcamp.
• Over 3 in 5 laid-off workers (62%) believe that learning AI or digital skills will increase their long-term job security.
• Over 3 in 5 laid-off workers (62%) would be more likely to take a job at a company that supports AI upskilling.
• 22% of hiring managers say upskilling in AI could have made employees more resilient to recent layoffs.
• Nearly 1 in 3 hiring managers (29%) now only hire candidates who are proficient in AI or have AI-related skills.
• Over two-thirds of hiring managers (69%) see AI as more of an opportunity than a threat to their workforce.

Out of Work, Not Out of Options

Amid AI-driven disruption and digital transformation, many laid-off workers are responding by investing in new skills, especially in AI and digital tools. From self-guided learning to online degree programs, workers are rethinking how to stay competitive in a shifting job market.

• 1 in 3 laid-off workers (33%) haven't pursued or even considered upskilling.
• Over 1 in 3 laid-off workers (37%) don't believe they could have prevented their layoff.
• After being laid off, workers spent an average of 6 hours per week learning or reskilling, with one-third of that time (2 hours) focused specifically on AI or AI-related tools.
• On average, laid-off workers have spent $365 out of pocket on learning or reskilling since being laid off.
• 8% of laid-off workers have spent over $1,000 on upskilling since being laid off.
• On average, laid-off workers have spent 26 hours applying for and interviewing for jobs.
• Nearly 1 in 5 laid-off workers (19%) are not at all confident that their current skill set is competitive in today's job market.
• Over 3 in 5 laid-off workers (62%) believe learning AI or digital skills will improve their long-term job security.
• 40% of laid-off workers feel optimistic about their career prospects over the next year, while 32% feel pessimistic.
• Among those who found a new job or source of income, it took nearly 3 months on average after being laid off.
• Over 2 in 5 Americans (45%) who were laid off in the past year are still looking for a new job.
• Over 1 in 10 Americans (11%) said it took them 6 months to find a new job or source of income after being laid off.
• Among laid-off workers who found new employment, 58% are earning less than before, 25% say their income is about the same, and just 17% are earning more.

Top Industries Where Workers Believe AI Contributed to Their Layoff

1. Tech 
2. Marketing 
3. Consulting 
4. Entertainment 
5. Finance

Generational Breakdown: Workers Who Believe AI Contributed to Their Layoff

• Gen Z: 23%
• Millennials: 21%
• Gen X: 14%
• Baby boomers: 14%

What Laid-Off Workers Wish They'd Done Differently Before Losing Their Jobs

• Started learning new skills earlier (32%)
• Built a stronger professional network (30%)
• Advocated for themselves more at work (24%)
• Chosen a more future-proof role or industry (23%)
• Kept their resume or portfolio more up to date (19%)
• Asked for more mentorship or guidance (16%)
• Focused more on AI or automation tools (13%)
• Taken on more cross-functional or visible projects (11%)

Biggest Barriers To Upskilling or Pivoting After a Layoff

• Emotional burnout: 24%
• Cost: 24%
• Lack of clarity on what to learn: 21%
• Time: 17% 

How Employers Are Hiring for an AI World

As AI adoption changes business operations, employers are also adjusting their hiring and retention strategies. Many now seek candidates who bring digital fluency, AI skills, and certain soft skills they see as essential when building a future-ready team.

• Nearly 1 in 3 employers (29%) now only hire candidates proficient in AI or with AI skills.
• Nearly half of respondents (49%) say employees with AI or digital skills are more likely to be retained during company changes.
• 2 in 5 respondents (40%) say employees with AI or digital skills are more likely to be promoted during company changes.

What Employees Could Have Done To Be More Resilient to Recent Layoffs

• Learned new skills sooner: 44%
• Taken more initiative or ownership: 38%
• Improved communication or leadership skills: 36%
• Built stronger internal relationships: 28%
• Upskill in AI: 22% 

Most Valuable Non-Technical Traits in New Hires

• Problem-solving or critical thinking: 53%
• Self-motivation / ownership of work: 47%
• Collaboration and teamwork: 39%
• Communication skills (written and verbal): 38%
• Creativity or outside-the-box thinking: 37%
• Time management or reliability: 36%
• Emotional intelligence: 35%
• Leadership potential: 35%
• Curiosity or intellectual humility: 30%

Industries With the Most Reported Layoffs due to AI Adoption in the Past 12 Months

1. Health care
2. Tech
3. Retail 
4. Finance
5. Construction 

Methodology

We surveyed 800 recently laid-off Americans and 200 hiring managers to explore how professionals and employers are responding to job market disruption, including layoffs, restructuring, and the rise of AI-driven skills. Among laid-off Americans, the average age was 38; 54% were female, 44% were male, and 2% were non-binary. Among hiring managers, the average age was 43; 38% were female, 61% were male, and 1% were non-binary.

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