Resume.org: Turmoil ahead for US job market as genAI disruption kicks up waves

A new survey from Resume.org paints a stark picture of the current job market, with 50% of US companies scaling back hiring and one in three planning layoffs by the end of the year.

The online resume-building platform surveyed 1,000 US business leaders and found that high-salary employees and those lacking AI skills are most at risk. Generational factors play a role, too: 30% of companies say younger employees are more likely to be affected, while 29% cite older employees. Additionally, 19% report that H-1B visa holders are at greater risk of layoffs.

With four-in-10 companies saying they expect to replace workers with AI tools by 2026, the report suggests a major shift is underway — though, given Resume.org’s position in the job search market, the data could reflect a mix of real trends and strategic framing.

The tech job market is feeling the shake-up, according to Kara Dennison, head of Career Advising at Resume.org. Pandemic over-hiring, AI disruption, and shifting consumer needs are forcing companies to recalibrate. “We’ve seen big waves of layoffs, mostly because companies over hired during the pandemic and are now adjusting to rapid changes driven by AI and shifting consumer needs,” Dennison said.

But it’s not all bad news. While some sectors shrink, others – including cybersecurity, cloud, AI, digital transformation, and data analytics — are booming.

To stay competitive, Dennison advised tech professionals worried about their career prospects to build a strong LinkedIn brand; network beyond their current company; and be prepared to highlight transferable skills. “Flexibility is key,” she added. “Be open to contract, remote, or cross-industry roles.”

Dennison also encouraged workers to target tech-forward sectors such as healthcare, energy, and finance. “With ongoing learning and smart networking, tech workers can thrive — even in a turbulent market.”

Resume.org

The changes brought about in the workplace by the rise of generative artificial intelligence (genAI) are not just about job loss or automation — they also involve transformation in a variety of roles. The questions Resume.org and others have been exploring in recent months is no longer whether genAI will change jobs — it will. The question is what kinds of jobs will be most and least changed, why, and how.

Data from other research and staffing firms paint a different picture than what Resume.org sees. Job search engine Indeed just published its own report on genAI’s impact on jobs; it found that most jobs will be at least moderately impacted by by the technology, with about a quarter of that group facing the highest level of exposure. For technical roles, that shift is especially sharp: software development, data and analytics, and IT support rank among the most exposed to dramatic changes. 

Of 2,900 US job skills Indeed analyzed, 60% show some level of AI-driven change — with tech skills dominating: they make up 54% of hybrid and 57% of fully transformable skills. (Generally, hybrid transformable skills are those where genAI assist on tasks but still require human oversight; fully transformable skills are those where genAI tools can independently handle routine tasks.)

“We found that 41% of…common work skills assessed are exposed to the highest potential levels of genAI-driven transformation, and roughly a quarter (26%) of all jobs on Indeed appear poised to radically transform in the future,” Indeed said. Critically, the company cautioned, “these are only measures of potential transformation.”

Any real-world impacts will depend on whether and how businesses adopt and integrate genAI tools — a process that often relies on a foundational level of digitalization that many companies have yet to achieve, Indeed said. “It’s also important to note that the US labor market has been in a multi-year slowdown, which makes it difficult to identify changes attributable to genAI from those driven by broader economic trends.”

Widespread job losses, however, are likely, the report said.

Indeed

Still, a year ago, no skills were seen as “very likely” to be fully replaced by genAI. Now, that number has risen to 19 skills (0.7% of those analyzed) — still small, but a clear sign of how genAI’s arrival is affecting worker skills and the broader job market, Indeed said. In fact, as genAI continues to improve, more skills are likely to become automatable, especially where physical roles aren’t required, Indeed found.

Tech roles are leading the shift, with most skills undergoing hybrid transformation — including software development (81%), data & analytics (79%), accounting (74%), IT support (71%), and insurance (70%).

Kye Mitchell, president of professional staffing firm Experis US, said there’s a more complex picture than recent headlines suggest. “There are certainly pockets of caution — employers are navigating economic uncertainty, market shifts, and the impact of new technologies. But we’re not seeing a wholesale pullback,” he said.

Experis parent company ManpowerGroup recently released a survey of more than 40,000 employers putting the US Net Employment Outlook at +28% going into the final quarter of 2025.

“That’s lower than last year, but still firmly in positive territory,” Mitchell said. “In IT specifically, the outlook remains one of the strongest across all industries at +46%. So, while hiring expectations have softened, demand for skilled talent — especially in technology — is holding steady.”

GenAI is part of the picture, but it’s not replacing workers as many fear, she said. Instead, one-in-four employers are hiring to keep pace with tech. The bigger issue is an ongoing skills gap — 41% of US IT employers say complex roles are hardest to fill, according to Experis.

Others agree. The skills gap matters more than any slowdown in hiring. Despite numerous tech layoffs over the past two years, a tech talent gap persists — especially for those trained on implementing and using genAI.

Consultancy McKinsey & Co. now projects that demand for AI-skilled workers will outpace supply by by as much as four-fold, a gap likely to continue at least until 2027.

That echoes what consultancy Deloitte wrote in a recent report. It found that corporate leaders continue to rate critical talent shortages as one of their greatest fears, even as job-seekers report despair about their hiring prospects. “And yet neither side seems prepared to address it,” Deloitte said in its report.Meta launches bipartisan super PAC to influence state AI laws amid rising regulatory pressure – ComputerworldRead More