Indeed and Glassdoor Cut 1,300 Jobs Amid AI-Driven Restructuring

Indeed and Glassdoor, two prominent job-hunting platforms, have announced significant job cuts, totaling over 1,300 positions. The decision comes as the companies' parent organization, Recruit Holdings, seeks to adapt to the rapidly evolving landscape shaped by artificial intelligence (AI). In an internal memo, Recruit Holdings CEO Hisayuki "Deko" Idekoba emphasized the necessity of embracing AI to enhance the user experience for job seekers and employees. The memo highlighted that AI is transforming the world, and the company must pivot to ensure its products remain competitive and deliver exceptional value.

The job cuts are part of a broader restructuring effort aimed at integrating Glassdoor more seamlessly with Indeed and leveraging AI to streamline operations. The restructuring includes the layoff of 92 employees in Seattle, reflecting the company's commitment to adapting to technological advancements. Idekoba's message underscores the strategic shift towards AI, positioning it as a critical component in delivering superior experiences for users. This move aligns with the broader industry trend of companies retooling their operations to stay ahead in an AI-driven market.

The decision to cut jobs is a stark reminder of the disruptive impact of AI on traditional business models. As companies across various sectors grapple with the implications of AI, Indeed and Glassdoor's actions illustrate the need for agility and innovation. The focus on AI is not just about cost-cutting but also about enhancing the quality of services offered to users. By investing in AI, the company aims to create more efficient and effective job-matching solutions, ultimately benefiting both job seekers and employers.

The restructuring efforts also highlight the challenges faced by companies in balancing the need for innovation with the human cost of such changes. While the job cuts are a difficult step, they are seen as necessary to ensure the long-term viability and competitiveness of the platforms. The company's leadership is confident that these measures will position Indeed and Glassdoor at the forefront of the job-hunting industry, leveraging AI to provide unparalleled user experiences.

In summary, Indeed and Glassdoor's decision to cut over 1,300 jobs is a strategic move to adapt to the AI revolution. The company's leadership recognizes the transformative potential of AI and is taking proactive steps to integrate it into their operations. While the job cuts are a significant change, they are part of a broader effort to enhance the platforms' offerings and ensure their continued success in a rapidly evolving market. The cuts follow another 1,000 layoffs at Indeed and Glassdoor in 2024 and about 2,200 in 2023. It’s unclear how many workers the companies will have remaining after this round. The cuts at Indeed and Glassdoor come as the job market overall gets worse. While unemployment is still low at 4.2%, a report from The Ludwig Institute for Shared Economic Prosperity, a nonprofit focused on economic and policy research, found nearly a quarter of Americans are “functionally unemployed.” And 20% of job seekers have been looking for work for 10 to 12 months or longer. Gen Z, meanwhile, is finding entering the workforce to be especially harrowing, as entry-level jobs dry up in part due to the threat of AI. LinkedIn’s chief economic opportunity officer, Aneesh Raman, has likened the shift to the decline of manufacturing in the 1980, writing in a , “Now it is our office workers who are staring down the same kind of technological and economic disruption. Breaking first is the bottom rung of the career ladder.”