Pinterest to Slash Nearly 15% of Workforce in AI-Powered Restructuring
Pinterest is cutting nearly 15% of its workforce as it reallocates resources toward artificial intelligence, with plans to prioritize AI-powered products and overhaul its sales and go-to-market strategy. The restructuring, approved by the board and detailed in an SEC filing, includes job eliminations, office space reductions, and estimated charges of $35 million to $45 million. Completion is expected by the end of the third fiscal quarter. Despite the layoffs, Pinterest intends to invest in strategic AI-related initiatives. The move follows similar actions by other tech companies, including Meta, as the industry shifts focus from areas like the metaverse to AI-driven projects. There is growing concern about AI-induced job displacement, with estimates suggesting significant losses in certain roles within the next several years. Some industry leaders warn of rapid workforce transformation, while others highlight potential for new job creation through AI. AI’s increasing influence is also drawing legal scrutiny, particularly in areas like automated hiring practices.
