4 in 10 Companies Will Replace Workers With AI in 2025

Amid growing concerns about AI’s impact on employment, ResumeTemplates.com surveyed 984 business leaders in August to understand how AI has influenced and will influence layoffs.

Study highlights:

• 3 in 10 companies have replaced workers with AI this year
• 38% of companies that will use AI in 2025 will replace workers with the technology next year
• 87% of business leaders who are hiring in 2025 say AI experience is beneficial for job seekers
• 7 in 10 business leaders believe employees with AI skills have more job security
• Two-thirds of business leaders expect workers using AI to be much more productive

3 in 10 Companies Replaced Workers With AI This Year

Nearly 90% of business leaders surveyed say their companies currently use AI, with the top applications being data analysis, research, and content creation.

Of the companies currently using AI, 30% (or 27% of the total sample) laid off workers this year due to their use of the technology.

Regarding the extent of layoffs, about 3% of companies laid off less than 1% of their workforce, 15% laid off 3% to 10%, 19% laid off 10% to 20%, 13% laid off 20% to 30%, 21% laid off 40% to 60%, and 27% laid off 70% or more.

In 2025, 35% Of Business Leaders Say AI Will Replace Employees At Their Company

Among business leaders at companies that plan to use AI in 2025, 17% indicate they definitely expect layoffs as a result of AI, while 21% think layoffs are probable. On the other hand, 31% believe layoffs are unlikely, and 23% are certain there will be no layoffs. About 8% are unsure.

Of those who expect layoffs, 3% of business leaders anticipate their company will lay off less than 1% of their workforce, 17% foresee layoffs of 3% to 10%, 21% estimate 10% to 20%, 15% project 20% to 30%, 17% expect 40% to 60%, and 23% predict 70% or more of the company’s workforce will be laid off due to AI use.

“AI technology is advancing quickly, and one of the main selling points is efficiency,” says ResumeTemplates’ Chief Career Strategist Julia Toothacre.

“There are many AI programs out there that supplement or do the work of positions that don’t require significant human interaction. While AI programs still need at least one person to prompt and/or provide data, this technology can enable companies to consolidate positions.”

9 in 10 Companies That Are Hiring in 2025 Will Be Looking for Workers With AI Skills

In 2025, 82% of companies plan to hire new employees, while 7% do not plan to hire, and 10% are unsure.
When hiring, 87% of companies consider AI experience beneficial, with 56% viewing it as very beneficial and 31% as somewhat beneficial. Additionally, 67% of companies believe employees with AI skills will have more job security, with 32% saying they definitely will and 35% saying they probably will.

“Gaining AI skills will improve your hireability because there are still a lot of people who resist new technology. AI is still new and a novelty, so many workers don’t see the value in learning how to utilize it in their jobs. In the corporate world, professionals have a chance to be the go-to person for AI, which will make them desirable hires or more difficult to replace. Even if you aren’t an expert, start learning,” says Toothacre.

9 in 10 Business Leaders Say AI Improves Productivity

Of companies that are currently using AI, 53% say AI makes their workforce much more productive, and 37% say a little more productive. Conversely, 7% say their workforce is not much more productive with the technology, and 2% have seen no productivity increase at all. An additional 2% are unsure about the impact on productivity.

Of those who say the tool improves productivity, 67% expect workers who leverage AI to get through significantly more work (31%) or a lot more work (36%) each week.

“While AI can definitely improve efficiency, employers need to be cautious about how much additional work their employees can truly take on. This is a learning period for everyone as companies adopt AI and implement it into daily productivity. I suggest employers give workers the freedom to explore right now before demanding more from them. Workers should be the ones to communicate how much more they can handle,” says Toothacre.

The survey was conducted in August 2024. In total, 984 U.S. business leaders were surveyed.

To take the survey, respondents had to be over 25 years old, have a household income of at least $75,000, have an education level above high school, and currently work at a company with more than 10 employees. Respondents also had to be in one of the following organizational roles: owner, partner, president/CEO/chairperson, C-level executive, chief financial officer, chief technology officer, senior management, director, or human resources manager.