LinkedIn’s latest labor-market data suggests that artificial intelligence is not yet the primary driver of the hiring slowdown troubling employers and job seekers. Instead, the company says economic uncertainty, tighter monetary conditions, and weaker momentum across advanced economies are doing more to explain why hiring remains subdued.
TL;DR
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- LinkedIn says the hiring slowdown is driven more by macroeconomic conditions than AI.
- Hiring patterns are similar across roles with high and low AI exposure.
- Advanced economies are down 20% to 35% versus pre-pandemic levels.
- AI demand is still growing, especially for skills and new job roles.
What TechCrunch Reported, And What Can Be Verified
The TechCrunch report is based on remarks attributed to LinkedIn’s chief global affairs and legal officer, Blake Lawit, during Semafor’s World Economy summit. According to the report, LinkedIn’s data shows hiring is down by around 20% since 2022, but AI is not the main reason behind the decline.
Lawit said LinkedIn has examined its Economic Graph data and has not seen clear evidence of widespread AI-driven job losses. Instead, he pointed to rising interest rates and broader economic conditions as more likely explanations.
Why LinkedIn Thinks The Slowdown Is Macro Driven
LinkedIn’s 2026 labor-market report supports this view, stating that sluggish hiring is not primarily caused by AI. The company highlights economic uncertainty and monetary policy shifts as key factors affecting hiring decisions globally.
According to the report, advanced economies have seen hiring drop between 20% and 35% compared with pre-pandemic levels. In contrast, markets such as India and the UAE continue to show stronger hiring momentum.
LinkedIn also found that hiring trends are similar across roles with both high and low exposure to AI. This includes comparisons between entry-level and experienced software engineering roles, suggesting the slowdown is not concentrated in jobs most vulnerable to automation.
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AI Is Still Changing The Job Market
Despite not being the primary cause of the hiring slowdown, AI is still reshaping the workforce. LinkedIn reports that U.S. job postings requiring AI literacy skills have grown by 70% year over year.
Additionally, more than 1.3 million AI-enabled jobs have emerged globally over the past two years. This indicates that while overall hiring has slowed, demand for AI-related skills and roles continues to rise.
LinkedIn Chief Economist Karin Kimbrough noted that AI is acting as a catalyst for new roles, upskilling, and productivity improvements, rather than immediate job displacement at scale.
What The Story Really Means
The current data suggests that AI is not yet the dominant force behind declining hiring rates. Instead, companies appear to be responding to economic pressures by slowing recruitment and focusing on efficiency.
However, LinkedIn acknowledges that this could change as AI adoption deepens. For now, the impact of AI is more visible in evolving skill requirements and the creation of new job categories, rather than widespread job losses.
As Lawit noted, this does not mean disruption will not happen in the future, but at present, the hiring slowdown reflects economic caution more than automation-driven change.
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