Recruit Holdings to Lay Off 1,300 at Indeed and Glassdoor Amid AI-Focused Restructuring

In a significant shift toward artificial intelligence (AI), Recruit Holdings, the Japanese parent company of Indeed and Glassdoor, has announced a layoff of approximately 1,300 employees—around 6% of its HR Technology division.

The restructuring aims to consolidate operations, specifically by integrating Glassdoor into Indeed, and intensify focus on building AI-powered recruitment tools. The move reflects a broader global trend of organizations reducing headcount to double down on AI investments.

Impact and Departments Affected

The layoffs will affect multiple departments across both Indeed and Glassdoor in the United States, including:

• Technology

• Human Resources

• Sustainability

• Research and Development

Employees were notified via an internal memo from Hisayuki “Deko” Idekoba, President and CEO of Recruit Holdings, outlining the strategic rationale behind the decision.

Leadership Changes

The reorganization also comes with high-level exits:

• Christian Sutherland-Wong, CEO of Glassdoor, will step down in October 2025.

• LaFawn Davis, Chief People and Sustainability Officer at Indeed, will also exit.

Why the Shift to AI?

Recruit Holdings plans to leverage AI to simplify the hiring process and enhance the user experience for both job seekers and employers. The company believes that AI-driven tools can make recruitment more efficient, accurate, and scalable.

This move mirrors decisions by other tech giants. For example, Google has also signaled a more AI-centric direction in 2025, with its Gemini app at the core of its strategy.

Industry-Wide Shift

The layoffs at Indeed and Glassdoor are part of a growing pattern of AI-driven workforce realignment across the global tech sector, where companies are:

• Replacing manual functions with AI-based automation

• Streamlining teams for innovation and agility

• Reorganizing around next-gen technologies

In summary, Recruit Holdings’ layoff announcement underscores how AI is not just reshaping recruitment tools—it’s reshaping the very workforce that builds them.