Why Sam Altman Says AI is Being Falsely Blamed for Job Losses
OpenAI CEO Sam Altman has sounded the alarm on a deceptive corporate trend he calls “AI Washing.”
Speaking at the India AI Impact Summit in New Delhi on February 23, 2026, Altman accused several companies of falsely blaming artificial intelligence for mass layoffs to mask more traditional business failures, such as over-hiring and poor financial planning.
The Rise of “AI Washing”
The term “AI washing” refers to the practice of companies dressing up routine cost-cutting as “technological transformation” to please investors.
Altman noted that while some genuine job displacement is occurring, many firms are using artificial intelligence as a convenient scapegoat.
“I don’t know what the exact percentage is, but there is some AI washing where people are blaming AI for layoffs that they would otherwise do,” Altman told CNBC-TV18.
By framing layoffs as an “AI-driven efficiency” move, companies signal to Wall Street that they are forward-thinking innovators rather than businesses struggling with a “pandemic hiring hangover.”
Data vs. Corporate Narrative
Recent data supports Altman’s skepticism.
According to a report by Challenger, Gray & Christmas, of the 108,000 job cuts recorded in the U.S. in January 2026—the highest monthly tally since 2009—AI was explicitly cited in only 7,600 cases.
The vast majority of cuts were driven by market conditions and restructuring.
Furthermore, a study by the National Bureau of Economic Research found that 90% of executives reported artificial intelligence has had zero impact on their overall headcount over the past three years.
This disconnect suggests that the “AI apocalypse” currently being touted in press releases may be more PR than reality.
Real Displacement is Coming
Altman was careful to clarify that while current claims may be exaggerated, a “palpable” impact on the workforce is inevitable.
He expects real displacement to accelerate in the next few years. This will occur as AI matures from an experimental tool into a core component of white-collar work.
Despite this, Altman remains an “optimist,” arguing that every technological revolution eventually creates more jobs than it destroys.
However, he warned that the current trend of AI washing is “muddying the public’s understanding.”
He believes this trend obscures what the technology can actually do today.
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