Indeed and Glassdoor Lay Off 1,300 Employees

Indeed and Glassdoor, two of the world’s leading job search and employer review platforms, have announced a significant wave of job cuts, eliminating approximately 1,300 roles.

This reduction, which represents about 6% of the workforce within the HR Technology segment of their Japanese parent company, Recruit Holdings, is explicitly tied to a major strategic pivot towards artificial intelligence (AI) and automation.

The news underscores a growing trend across the tech industry where even profitable companies are streamlining operations to adapt to the transformative capabilities of generative AI.

The Rationale: Simplification Through AI

The decision was communicated to employees via an internal memo from Recruit Holdings CEO, Hisayuki “Deko” Idekoba.

Hisayuki stated that “AI is changing the world, and we must adapt by ensuring our product delivers truly great experiences for job seekers and employers.”

The core objective of the restructuring is to simplify and expedite the hiring process.

Recruit Holdings cited the massive percentage of human labor—estimated at 60-65%—in the $300 billion-plus HR industry as a prime target for AI-led disruption.

By leveraging AI for tasks like resume screening, candidate matching, and data analysis, the company aims to reduce manual work and increase efficiency.

Recruit Holdings claims that AI is already facilitating a job match on their platform every few seconds.

Indeed and Glassdoor: Impacted Departments and Organizational Changes

The job cuts are primarily concentrated in the United States but affect multiple functions and countries globally.

The roles most impacted fall within the Research and Development (R&D), Technology, Growth, and People and Sustainability teams.

Crucially, the restructuring involves a major organizational overhaul: Recruit Holdings will integrate Glassdoor’s operations fully into Indeed.

This consolidation is a move to create a unified, simplified hiring experience.

As a consequence of this shift, Glassdoor CEO Christian Sutherland-Wong is set to step down from his role.

Additionally, Indeed’s Chief People and Sustainability Officer, LaFawn Davis, will also depart the company.

Part of a Larger Trend

The 1,300 layoffs mark the third consecutive year of significant job reductions within the Recruit Holdings HR technology unit.

These cuts follow similar reductions that occurred in both 2023 and 2024.

While previous rounds were partially attributed to broader economic headwinds, this latest wave is distinctively framed as an AI-driven transformation.

This shift reinforces concerns across the white-collar workforce about job vulnerability in the age of rapid automation.

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