{"id":366017,"date":"2026-03-19T15:11:40","date_gmt":"2026-03-19T19:11:40","guid":{"rendered":"https:\/\/tech.co\/?p=366017"},"modified":"2026-03-19T15:11:40","modified_gmt":"2026-03-19T19:11:40","slug":"study-us-companies-compensation-cut-ai","status":"publish","type":"post","link":"https:\/\/tech.co\/news\/study-us-companies-compensation-cut-ai","title":{"rendered":"Study: 54% of US Companies Plan Compensation Cuts Due to AI"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column]\n<\/p><div class=\"verdict-box inform-box\" data-eventcategory=\"verdictbox\" data-component=\"verdict-box\" data-total-positions=\"3\">\n\n <div class=\"verdict-box-wrap inform-box-wrap\">\n <h3 class=\"verdict-box-title\">Key Takeaways<\/h3>\n \n <div class=\"verdict-box-info\">\n<ul>\n<li>54% of companies say they have or will <strong>reduce employee compensation<\/strong> in 2026 due to AI.<\/li>\n<li>Similarly, 26% say they have or will<strong> lay off employees<\/strong> amid a shift toward AI.<\/li>\n<li>Looking toward the future, a full 94% say <strong>they &ldquo;expect to reduce headcount as AI takes over <\/strong>more functions.&rdquo;<\/li>\n<\/ul>\n<p>\n<\/p><\/div>\n <\/div>\n\n <div class=\"verdict-box-footer inform-box-buttons\">\n <div class=\"container\">\n <div class=\"row\">\n <\/div>\n <\/div>\n <\/div>\n\n<\/div>\n[vc_column_text css=&rdquo;&rdquo;]The impact of AI in the workplace could be brutal for workers everywhere, a new study indicates, with over half of companies in the US saying they plan to reduce worker compensation by the end of this year, due to AI.\n<p>Not only did 54% of the surveyed companies say they would be reducing their pay, but another 26% say they plan to entirely lay off workers.<\/p>\n<p>These insights come after <a href=\"https:\/\/tech.co\/news\/tech-companies-layoffs\"><strong>years of white collar job reductions<\/strong><\/a> across the tech industry and serve as another reminder that our lengthy timeline of AI-related job insecurity has not yet come to an end.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column width=&rdquo;2\/3&Prime;][vc_column_text css=&rdquo;&rdquo;]<\/p>\n<h2>Half of US Companies Plan Compensation Reductions<\/h2>\n<p>The <a href=\"https:\/\/www.resumebuilder.com\/half-of-companies-are-cutting-compensation-to-fund-ai-investments\/\" target=\"_blank\" rel=\"noopener noreferrer\">new survey<\/a> is out from ResumeBuilder.com, which polled 866 US business leaders to conclude that &ldquo;54% of companies have or will reduce employee compensation to free up capital for AI spending in 2026.&rdquo;<\/p>\n<p>According to the report, this trend is set to continue for the foreseeable future, as &ldquo;the vast majority expect further AI investment at the expense of employees.&rdquo;[\/vc_column_text][\/vc_column][vc_column width=&rdquo;1\/3&rdquo;]<\/p><p>&nbsp;<\/p>\n<p style=\"text-align: center\"><a class=\"js-aw-brand-link\" href=\"https:\/\/compare.tech.co\/software-deals-live\/\" data-feed=\"XuPuf49GEEm4y0PaIQDZ0dEjkEf760Vv\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-333457\" src=\"https:\/\/images.tech.co\/wp-content\/uploads\/2024\/06\/18114043\/About-Techco-video.jpg\" alt=\"About Tech.co Video Thumbnail Showing Lead Writer Conor Cawley Smiling Next to Tech.co Logo\" width=\"200\" height=\"200\"><\/a><strong>This just in! View<\/strong><br>\n<strong><a href=\"https:\/\/compare.tech.co\/software-deals-live\/\">the top business tech deals<\/a> for 2026 &#128104;&zwj;&#128187;<br>\n<\/strong><a class=\"js-aw-brand-link\" href=\"https:\/\/compare.tech.co\/software-deals-live\/\" data-feed=\"XuPuf49GEEm4y0PaIQDZ0dEjkEf760Vv\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-348272 aligncenter\" src=\"https:\/\/images.tech.co\/wp-content\/uploads\/2024\/09\/09122654\/ok-1.png\" alt=\"See the list button\" width=\"200\" height=\"85\"><\/a><\/p>\n[\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&rdquo;&rdquo;]Of the companies that are cutting back on compensation due to AI, opinions are mixed on the exact reason. 75% say AI offers a competitive advantage, while 74% specifically point to revenue growth thanks to AI tools.\n<p>In addition, 57% say they &ldquo;risk falling behind competitors without significant AI investment.&rdquo;<\/p>\n<div class=\"lytics-newsletter-container\">\n <div 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first matching segment from modules.target that exists in userAudiences\n                        const findMatchingSegment = (modules) => {\n                            \/\/ Loop through modules.target in priority order\n                            for (const module of modules.target) {\n                                \/\/ Check if this module's segment exists in userAudiences\n                                if (userAudiences.includes(module.segment)) {\n                                    return module;\n                                }\n                            }\n                            \/\/ If no match found, return the default module\n                            return modules.target.find(module => module.segment === 'all');\n                        };\n\n                        var modules = {\n                            target: [\n                                                                {\n                                    segment: 'all',\n                    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[matchingModule] : []\n                        };\n\n                        pathfora.initializeWidgets(filteredModules, defaultConfig);\n\n                        \/\/ Remove loading spinner after widget initialization\n                        const loadingSpinner = newsletterContainer.previousElementSibling;\n\n                        if (loadingSpinner) {\n                            loadingSpinner.classList.add('hidden');\n                        }\n                    });\n                }\n\n                initializeNewsletterWidget();\n            })();\n        <\/script>\n [\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&rdquo;&rdquo;]\n<h2>Bonuses May Be the First to Go<\/h2>\n<p>Bonuses are in danger across the largest amount of companies. Here&rsquo;s how the various types of compensation being reduced, according to the report:<\/p>\n<ul>\n<li>Bonuses (61%)<\/li>\n<li>Equity or stock awards (60%)<\/li>\n<li>Raises (59%)<\/li>\n<li>Benefits (53%)<\/li>\n<li>Base salaries (43%)<\/li>\n<\/ul>\n<p>It&rsquo;s worth noting that these are all self-reported claims. We&rsquo;ll have to wait to see if compensations really are reduced to this extent.[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&rdquo;&rdquo;]<\/p>\n<h2>An Overwhelming Majority Plan on Future Layoffs<\/h2>\n<p>One last troubling statistic from the new report? 94% of the surveyed companies say they &ldquo;expect to reduce headcount as AI takes over more functions.&rdquo;<\/p>\n<p>In other words, half of the companies may be planning compensation cuts in 2026 &mdash; but an overwhelming majority are planning on even more layoffs at some point in the near future.<\/p>\n<p>Last year, we covered British computer scientist Geoffrey Hinton&rsquo;s view that <a href=\"https:\/\/tech.co\/news\/godfather-ai-mass-unemployment-very-likely\"><strong>AI will &ldquo;very likely&rdquo;<\/strong><\/a> cause mass unemployment.<\/p>\n<p>We&rsquo;ve already seen plenty of headline-grabbing mass layoffs due to AI, from <strong><a href=\"https:\/\/tech.co\/news\/accenture-layoffs-ai-pivot\">Accenture<\/a><\/strong> to&nbsp;<strong><a href=\"https:\/\/tech.co\/news\/duolingo-ai-layoffs\">Duolingo<\/a><\/strong>. Executives&rsquo; minds seem to be made up. They&rsquo;re operating in lockstep, moving towards a goal of lowering headcounts while relying on AI to pick up the slack.[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Not only did 54% say they would be reducing their pay, but another 26% plan to entirely lay off workers.<\/p>\n","protected":false},"author":8412,"featured_media":359149,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"single-sidebar.php","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"class_list":["post-366017","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","col-12"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Study: 54% of US Companies Plan Compensation Cuts Due to AI - Tech.co<\/title>\n<meta name=\"description\" content=\"Not only did 54% of the surveyed companies say they would be reducing their pay, but another 26% say they plan to entirely lay off workers.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/tech.co\/news\/study-us-companies-compensation-cut-ai\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Study: 54% of US Companies Plan Compensation Cuts Due to AI - 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