Indeed & Glassdoor Layoffs: 1,300 Staff Affected by AI Shift

Recruit Holdings Announces Workforce Reduction at Indeed and Glassdoor

Recruit Holdings, the Japan-based company that owns Indeed and Glassdoor, announced on Friday a reduction in its workforce impacting approximately 1,300 employees. This action is part of a larger organizational restructuring.

Integration of Glassdoor and Increased AI Focus

The restructuring centers around integrating Glassdoor’s operations directly into Indeed. A key driver of this change is an intensified commitment to leveraging artificial intelligence (AI) technologies.

Impact of Layoffs Across Divisions and Geographies

The workforce reduction will primarily affect roles within the U.S., spanning Research & Development (R&D), technology, Human Resources (HR), and sustainability departments. However, the impact will be felt across all functions and in all countries where Recruit operates, as detailed in an internal communication from CEO Hisayuki “Deko” Idekoba, obtained by TechCrunch.

These cuts represent approximately 6% of Recruit’s total HR technology division.

AI's Role in Job Placement

The company emphasized the efficiency gains achieved through AI, stating that it currently facilitates a job match every 2.2 seconds. Their stated goal is to “simplify the hiring process by enhancing both the job seeker and employer experience through the application of AI.”

CEO and Executive Departures

As a consequence of the restructuring, Christian Sutherland-Wong will be stepping down from his position as CEO of Glassdoor on October 1st. Additionally, LaFawn Davis, currently serving as Chief People and Sustainability Officer at Indeed, will also be leaving the company.

Industry-Wide Trend of Tech Layoffs

This announcement aligns with a broader trend within the technology sector, where companies are scaling back sustainability programs and reducing staff to offset the significant investments required for AI integration. Numerous organizations, including Microsoft, TikTok, Match, Intel, and Meta, have recently announced similar workforce reductions, potentially impacting tens of thousands of jobs.

This article has been updated to include further details from the company’s internal memo.