US employers cited artificial intelligence as a reason for 120,136 job cuts through September, accounting for 21% of all layoffs. Billionaire investor Mark Cuban argues that the primary risk to employees is not the technology itself, but competition from individuals who possess superior AI skills. Data from Gallup supports this perspective, showing that tech workers who used AI less than once a month faced three times the layoff risk compared to those who used it monthly.
Despite the layoffs, the AI sector has generated over 750,000 jobs in the US since 2023, according to LinkedIn estimates cited by The Kobeissi Letter. Data annotators represent the largest group with 282,000 positions, followed by 117,000 roles in data centers and 105,000 positions for AI engineers. LinkedIn data indicates that AI-related job postings increased by 156% between 2024 and 2025.
AI-related roles offer a median salary of approximately $180,000, which is significantly higher than the $80,000 median for all other jobs. Demand for technical talent is expanding beyond the technology sector into banking, manufacturing, and law. Hiring data from Draup shows that job postings mentioning agent orchestration surged by 1,721% this year.
Broader labor market indicators remain constrained, with nonfarm payrolls increasing by 29,000 in September and the unemployment rate reaching 4.2%. The Bureau of Labor Statistics is scheduled to release the October jobs report on November 6. This upcoming data will clarify whether the growth in AI-linked hiring continues to diverge from the overall slow pace of job gains.
