SAN FRANCISCO, United States — LinkedIn is planning to lay off about 5 P.c of its workforce in a fresh wave of technology sector job cuts, according to two people familiar with the matter who spoke to Reuters.
The professional networking platform, owned by Microsoft, was expected to inform affected employees on Wednesday as part of a broader internal reorganization aimed at concentrating resources in faster-growing areas of the business.
LinkedIn employs more than 17,500 full-time workers globally, according to information published on the company’s website. Reuters could not immediately establish which departments would be affected by the planned cuts.
The layoffs come despite continued business growth at LinkedIn. Microsoft’s latest securities filings showed revenue at the social networking company rose 12 P.c in the recently ended quarter compared with the same period last year.
The increase marked an acceleration in growth for 2026 as the company continued to benefit from recruitment services, advertising products, and premium subscriptions.
One source familiar with the matter said the layoffs were not driven by artificial intelligence replacing workers directly.
However, the rapid adoption of AI technologies across the technology industry has intensified concerns about the future of white-collar jobs, particularly in software engineering, marketing, and administrative roles.
Technology firms across Silicon Valley have increasingly restructured operations to prioritize AI investments and streamline costs.
Earlier this year, payments company Block announced plans to cut nearly half of its workforce, while internet infrastructure firm Cloudflare recently unveiled plans to reduce staffing levels by roughly 20 P.c.
Reuters also previously reported that Meta Platforms was targeting another round of layoffs scheduled for May 20.
The latest cuts underscore how technology companies continue to balance aggressive investment in AI infrastructure with pressure from investors to maintain profitability.
Some technology executives and researchers have warned that AI could eventually displace millions of jobs globally. Others argue that the technology is more likely to reshape work patterns than eliminate jobs entirely.
In many software firms, developers now routinely use AI systems to generate code, automate documentation, and improve productivity rather than replace entire teams.
Data compiled by Layoffs.fyi shows technology companies have announced more than 103,000 job cuts so far in 2026. The figure is already nearing the more than 124,000 layoffs recorded across the entire technology sector in 2025.
The continued restructuring reflects wider uncertainty in the global technology industry as companies adapt to shifting economic conditions, changing hiring trends, and the rapid emergence of generative AI tools.
