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AI Layoffs to Hit Labor Market Like a Tsunami, IMF Warns
ByAinvest
Tuesday, Jan 20, 2026 8:31 am ET1min read
AI--
AI-driven layoffs are expected to increase in 2026, according to Kristalina Georgieva, managing director at the International Monetary Fund. The technology is hitting the labor market "like a tsunami" and most countries and businesses are not prepared for it. Companies need to upskill workers to adapt to new skills required by AI. Worker sentiment around AI has shifted, with employee concerns about job loss due to AI increasing from 28% in 2024 to 40% in 2026.
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