Intuit cuts over 3,000 jobs — 17% of staff — to redirect spend into AI
What Happened
Intuit confirmed cuts of about 17% of its workforce, framing the move as a portfolio reshuffle rather than cost reduction. Profits remain strong; leadership says it needs the headcount budget to fund AI product investments and rehire in AI-native roles. The announcement landed during a broader May wave that's already passed 100,000 tech layoffs in 2026.
My Take
"We're profitable and still cutting" is the new normal, and the honest framing is uglier than the press release. These aren't reorgs — they're a generational reset of who gets to work in software. The interesting tell is the rehire plan: companies are betting they can replace mid-career generalists with smaller AI-leveraged teams. That bet hasn't been proven yet, and the first quarterly miss from one of these companies will be very loud.
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