Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Translate

Wednesday, 4 November 2026

The Bottom Rung Is Being Sawed Off — and "AI Rebounding" Proves the Layoffs Were Never Really About AI

The Bottom Rung Is Being Sawed Off — and "AI Rebounding" Proves the Layoffs Were Never Really About AI

The firms that cut staff "for AI" are now asking those workers back, and the returnees want pay rises, written guarantees and an apology. That is the tell: AI was cover for pre-emptive cost-cutting, not proof of capability. Canva's 1,271 cuts, driven by AI costs rather than AI output, and India's uneven Q2 FY27 numbers say the same. Hiring is not dying; it is being re-cut around forward-deployed engineers. What is missing is an apprenticeship-and-judgment pathway — paid for, I suggest, by a levy on the AI companies.

Anyone who has sat on the hiring side of a table distrusts a layoff announced with a strategy deck.

Nearly one in five US and UK workers laid off or replaced by AI have since been asked to come back, says an SHL survey of more than 1,000 workers in each country, run in June and July 2026 and reported by The Beltway Report.

  • Challenger, Gray & Christmas put nearly 40 per cent of May 2026's announced cuts down to AI.
  • Orgvue found 32 per cent of organisations that cut for AI had since rehired (March 2026).
  • SHL put the rebound at 24 per cent among younger workers (Canadian HR Reporter, 4 November 2026).

Ford's vehicle hardware chief Charles Poon admitted the company had "mistakenly" assumed that adding AI plus adjusted design requirements would by itself yield a high-quality vehicle, after veteran engineers left first.

The returnees are not kneeling: about half want a substantial pay rise, four in ten written guarantees of job security, three in ten an apology. As Nita Chhinzer of the University of Guelph told Canadian HR Reporter:

This is probably one of the first times that we've actually had proactive cuts where the financial savings hadn't happened yet.

Canva is the other half. On 4 November it confirmed 1,271 job losses, 22 per cent of staff, the first cuts in thirteen years, and trimmed its revenue growth forecast to 20 per cent from 30 per cent to absorb ballooning AI costs (TechCrunch). The job did not go because AI could do it; it went because AI cost money to buy. Six months' pay and a $10,000 startup grant (NDTV Profit) is a generous farewell, not an explanation.

India tells it with different arithmetic. In Q2 FY27 the six majors added 14,867 people net while Wipro alone shed 6,716, even as Wipro's gross revenue grew 9.1 per cent. TCS booked $3.1 billion of annualised AI revenue (SightsIn Plus, 4 November 2026).

Hiring is not dying; it is being re-cut. The emerging role is the forward-deployed engineer — part builder, part consultant, accountable for an outcome inside the client's office. Scaler and CMR find 88 per cent of enterprises expect FDE demand to rise by 2030, while 1 per cent of engineers hold such a role (Moneycontrol, 4 November 2026).

That is not a certificate gap but a judgment gap — the paradox I flagged in HIRING PARADOX (July 2025), and why Graduates Without Jobs (March 2026) worried me. My ask is an apprenticeship with teeth: two-year paid deployment apprenticeships, one per two forward-deployed engineers, judged on Day-1 delivery. Dario Amodei, who warned again this week that AI may halve entry-level legal, consulting and finance jobs in five years (Amar Ujala, 4 November), told Axios in May 2025 that "it's going to involve taxes on people like me, and maybe specifically on the AI companies," and floated a 3 per cent levy on AI revenue. Route that money into apprenticeships, not certificates.

With regards,
Hemen Parekh
www.Iam-Immortal.ai / www.IndiaAGI.ai / www.YourContentCreator.in
5 November 2026

No comments:

Post a Comment