Recruit Holdings Lays Off 1,300 Workers Amid AI Transition

Recruit Holdings has announced significant layoffs, cutting around 1,300 jobs—about 6% of its workforce in the HR Technology segment—across two of its platforms, including Glassdoor.

The Japanese parent company disclosed these layoffs on Thursday, emphasizing the need to adapt as artificial intelligence reshapes the business landscape. CEO Hisayuki Idekoba mentioned in an email to staff that the company aims to enhance user experiences for both job seekers and employers.

The cuts appear to target various positions, particularly within US teams related to Research and Development, as well as the People & Sustainability Team, but they will affect employees in multiple sectors and countries.

In his communication with employees, Idekoba noted that the goal of these layoffs is to help the company focus on its core priorities. Some employees—particularly those in leadership roles—are also seeing changes, including the planned departure of Glassdoor CEO Christian Sutherland-Wong due to the ongoing transition.

Additionally, Chief People and Sustainability Officer Raffon Davis will be leaving in September. After she steps down, the operations will be overseen by Recruit Holdings COO Ayano Senaha, according to Idekoba.

Recruit Holdings assured that despite these changes, it does not anticipate any alterations to its financial outlook for fiscal 2025. The impact of the layoffs has largely been factored into existing projections linked to the company’s fundamental performance, especially concerning HR technology revenue, which is forecasted to reach 3.52 trillion yen in the upcoming fiscal year.