Indeed, Glassdoor to lay off 1,300 staff amid AI push | TechCrunch | Goose Pod

Authors: Ram Iyer

Publisher:

TechCrunch

Published: 7/11/2025

Language:English

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Good evening 跑了松鼠, and welcome to Goose Pod. I'm David.

And I'm Ema. It's 10:55 PM on Sunday, July 13th. Tonight's topic: major layoffs at Indeed and Glassdoor driven by a push towards AI.

Let's get started. The headline is that Recruit Holdings, the parent company of both Indeed and Glassdoor, is laying off about 1,300 employees. This isn't just a simple cost-cutting measure; it's framed as a strategic pivot towards artificial intelligence.

Exactly. So, while you might see 'layoffs,' the company is saying 'AI upgrade.' They're integrating Glassdoor's operations directly into Indeed and betting heavily that AI can streamline the whole hiring process, making it faster and more efficient for everyone involved.

This isn't happening in a vacuum. Indeed has already had two major rounds of layoffs since early 2023, cutting over 3,200 jobs before this. This new round signals an acceleration of their strategy, not just a continuation of trimming costs from the post-pandemic hiring boom.

It's a huge trend in tech right now! Think about it, companies like Microsoft, Google, and Meta have all announced massive layoffs, and the common thread is reallocating those resources—and budgets—to fund their AI ambitions. It seems 'AI' is the magic word that justifies huge shake-ups.

Precisely. The CEO, Hisayuki Idekoba, explicitly said, 'AI is changing the world, and we must adapt.' They even released a statistic claiming their AI helps someone find a job every 2.2 seconds, which is a powerful, if hard to verify, statement to justify this move.

It’s like they're swapping out parts of their car engine while it's still running. They're removing some of the old mechanical parts—the human roles—and bolting on a new, powerful AI turbocharger, hoping it makes the whole machine run faster and better.

From the company's perspective, this is about survival and competition. They see AI not as a choice, but as a necessity to stay relevant. By integrating AI, they believe they can create a superior product that delivers a better experience for both job seekers and employers, ultimately winning the market.

But on the other side, you have 1,300 people who are now out of a job. For them, this isn't about an exciting tech future; it's about job security. The conflict is stark: the company’s quest for AI-driven efficiency is directly at odds with the livelihood of its employees.

And there's a more subtle conflict. Experts point out this often creates ageism concerns. AI can make junior employees perform at near-expert levels, which makes the higher salaries of experienced, senior employees a target for cost-cutting. The company calls it 'efficiency,' but it can be seen as devaluing human experience.

That's a really good point. So the company is playing chess, thinking about market dominance in five years, while the employees are just trying to figure out how to pay their rent next month. Two completely different realities.

The immediate impact is, of course, on the employees. But it also sends a ripple through the entire HR tech industry. Competitors are now under pressure to show their own AI strategy. It also signals a rollback on other initiatives; notice that sustainability roles were among the first to be cut.

And what about the user experience? We use these platforms to find jobs and read reviews. With Glassdoor being absorbed and AI taking a bigger role, will the platform feel more automated and less human? Will the quality of reviews or job matches change? That's a huge question.

Looking ahead, the future of these platforms will be a hybrid model. We'll likely see AI handling the bulk of data processing and matching, with humans shifting to more strategic, advisory roles. The key will be finding the right balance between automation and the human touch.

That’s all the time we have for today. Thank you for listening to Goose Pod.

See you tomorrow.

## Indeed and Glassdoor Lay Off 1,300 Staff Amid AI Push **Report Provider:** TechCrunch **Author:** Ram Iyer **Date:** July 11, 2025 ### Key Findings: * **Recruit Holdings**, the parent company of job platforms **Indeed** and **Glassdoor**, is implementing a significant restructuring that will result in the layoff of approximately **1,300 employees**. * This reduction in workforce is primarily driven by the **integration of Glassdoor's operations within Indeed** and a strategic pivot towards **increasing the use of Artificial Intelligence (AI)**. * The job cuts are expected to affect functions mainly in the **U.S.**, specifically within the **R&D, tech, and HR and sustainability divisions** of both companies. However, an internal memo indicates that **all functions across all countries will be affected**. * The layoffs represent **6% of Recruit's HR technology division**. ### Strategic Rationale and AI Focus: * Recruit Holdings CEO, **Hisayuki “Deko” Idekoba**, stated that the company is focusing on "simplifying hiring by building a better job seeker and employer experience using AI." * He emphasized that "AI is changing the world, and we must adapt by ensuring our product delivers truly great experiences for job seekers and employers." * The company highlighted internal figures suggesting that AI helps people find a job **every 2.2 seconds**. ### Leadership Changes: * As part of the restructuring, **Christian Sutherland-Wong**, the current CEO of Glassdoor, will be leaving the company on **October 1**. * **LaFawn Davis**, chief people and sustainability officer at Indeed, is also departing. ### Broader Industry Trend: * These layoffs at Indeed and Glassdoor align with a wider trend in the tech industry, where companies are **rolling back sustainability initiatives and cutting jobs** to offset extensive spending on AI integration. * The news cites other major tech companies like **Microsoft, TikTok, Match, Intel, and Meta** that have announced significant job cuts in recent months.

Indeed, Glassdoor to lay off 1,300 staff amid AI push | TechCrunch

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Recruit Holdings, the Japanese parent of Indeed and Glassdoor, said on Friday it is laying off about 1,300 employees at the two companies. The layoffs are part of a broader restructuring that involves Glassdoor’s operations being integrated within Indeed, and an increasing focus on using AI.The job cuts would affect functions mostly in the U.

S. across the two companies’ R&D, tech, and HR and sustainability divisions, though all functions across all countries will be affected, according to an internal memo by CEO, Hisayuki “Deko” Idekoba, seen by TechCrunch. The cuts would affect 6% of Recruit’s HR technology division.Highlighting internal figures that AI helps people find a job every 2.

2 seconds, the company said in a statement that it is focusing on “simplifying hiring by building a better job seeker and employer experience using AI.”“AI is changing the world, and we must adapt by ensuring our product delivers truly great experiences for job seekers and employers,” Idekoba wrote in the memo.

As part of the restructuring, Glassdoor’s current CEO, Christian Sutherland-Wong, is leaving the company on October 1. LaFawn Davis, chief people and sustainability officer at Indeed, is also leaving the company.The job cuts come as tech companies across the world roll back their sustainability initiatives and cut jobs to balance out extensive spending on integrating AI into their businesses.

Tens of thousands of people stand to lose jobs at Microsoft, TikTok, Match, Intel, and Meta, per announcements in just the past couple of months.Updated with additional details from the company memo.Ram is a financial and tech reporter and editor. He covered North American and European M&A, equity, regulatory news and debt markets at Reuters and Acuris Global, and has also written about travel, tourism, entertainment and books.

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