New York Layoffs Raise Questions About AI's Role

Companies avoid citing AI as a factor in mass layoffs, despite industry trends suggesting technology's growing impact on employment.

Published on Feb. 9, 2026

New York state has seen a significant number of mass layoffs over the past year, with over 160 companies filing notices that affected nearly 28,300 workers. However, none of these companies have cited 'technological innovation or automation' as the reason for the workforce reductions, despite the increasing adoption of AI technologies by major corporations like Amazon and Goldman Sachs. This trend has sparked a debate over whether businesses are choosing to avoid discussing AI's role in layoffs, potentially fearing reputational backlash.

Why it matters

Understanding the true drivers behind job losses, including the potential influence of emerging technologies like AI, is crucial for workers, businesses, and policymakers. Accurate reporting on the reasons for layoffs allows state agencies to better prepare support services for affected workers, and the ongoing dialogue around AI's impact on the workforce will be vital as the technology continues to evolve.

The details

New York has become the first state to incorporate an AI-related question in its required Worker Adjustment and Retraining Notification (WARN) filings, requiring companies to indicate whether technology, particularly AI, has driven their layoffs. However, since the introduction of this new requirement, more than 750 WARN filings encompassing 162 employers have been submitted, yet none have identified AI as a contributing factor. This absence raises questions about whether businesses are choosing to avoid discussing AI's role in layoffs, potentially fearing reputational backlash.

  • In the past year, New York state has witnessed a notable trend of over 160 companies filing mass layoff notices, affecting nearly 28,300 workers.
  • New York Governor Kathy Hochul has mandated that the Department of Labor ask companies whether technology, particularly AI, has driven their layoffs.

The players

Kathy Hochul

The Governor of New York who has mandated that the Department of Labor ask companies whether technology, particularly AI, has driven their layoffs.

Amazon

A major corporation that has increasingly adopted AI technologies in its operations and acknowledged that AI advancements will inevitably lead to job reductions.

Goldman Sachs

A major corporation that has suggested its layoffs are linked to AI's capacity to enhance productivity.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident (San Francisco Chronicle)

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee (Instagram)

What’s next

The judge in the case will decide on Tuesday whether or not to allow Walker Reed Quinn out on bail.

The takeaway

This case highlights growing concerns in the community about repeat offenders released on bail, raising questions about bail reform, public safety on SF streets, and if any special laws to govern autonomous vehicles in residential and commercial areas.