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Weekly Newsletter Vol. 90 - May 21, 2025

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AI Layoffs, Human Rehiring & the Recruitment Reset: Why Outplacement and Talent Strategy Matter More Than Ever

As we reach the halfway mark of 2025, it’s hard to ignore the shake-up happening in talent acquisition and workforce planning. You’ve probably seen the headlines:

JPMorgan is accelerating its hiring process using AI.

Microsoft has laid off thousands as part of its pivot to AI-focused operations.

Klarna — after automating away hundreds of customer service roles — is now rehiring humans.

If you’re a recruiter, HR leader, business owner, or simply paying attention, the message is clear: AI is here to stay, but so are people.

The question isn't whether AI will change recruitment — it already has. The question now is: how do we lead through this transition without losing the human advantage?

What your company should be doing right now

1. AI Isn’t Replacing Everyone — But It Is Changing Everything

Let’s start with some context. Major companies are rethinking how work gets done. Generative AI is proving useful in automating repetitive tasks, improving speed in communication, and providing first-pass decision support. Resume screening, job ad writing, and initial candidate outreach? AI can now handle that.

But the consequence? Restructuring. Downsizing. And in many cases, large-scale layoffs.

Here’s the irony: companies that leaned heavily into AI to reduce headcount are now realizing that technology is not a full substitute for human judgment, empathy, or creativity — especially in customer-facing or strategic roles.

Klarna is the most public example. After automating hundreds of jobs, they’re now reversing course and hiring people back. Why? Because customers were frustrated. Complex issues required complex thinking. And AI — for all its promise — still can’t do that at scale.

What does this mean for the rest of us? It means that every company needs to think bigger than “cut costs with tech.” We need to reimagine the workforce, not just reduce it.

2. Outplacement Is No Longer Optional — It’s a Business Imperative

Layoffs are hard but they don’t have to be heartless. When a company lets people go, that moment becomes part of the organization's reputation — for better or worse. What happens next defines your brand, your culture, and your ability to rehire when the time comes.

Outplacement services — especially full-service, personalized ones — have become essential in this new landscape.

At Recruitment Made Easy, we’ve seen firsthand how the right outplacement strategy can make a world of difference. We help companies provide:

• One-on-one executive career coaching

• Custom resume and LinkedIn branding suites

• Leadership assessments (e.g., CliftonStrengths, Hogan)

• Networking support for new roles and even board placement

• Mental health support during transition

• Ongoing weekly check-ins and real-time job search strategy

• Concierge-level support for calendar management, job application tracking, and interview prep

The goal? To make sure your departing team lands on their feet — faster, stronger, and with dignity.

You can’t control the need to restructure. But you can control how you treat your people on the way out. That matters more than ever.

3. The Hidden Risk of Letting People Go Without a Plan:

Reputation damage: Layoffs are often leaked online. If ex-employees are left in the dark or feel unsupported, platforms like LinkedIn will amplify the backlash.

Loss of internal morale: Remaining employees take notice. If they see their peers shown the door without care, they may start job-hunting — even if their role is “safe.”

Future talent acquisition costs rise": Top candidates will think twice before joining a company known for cutting people loose without support. Reputation now travels in real time.

Outplacement is more than a gesture: It’s risk mitigation, brand protection, and the right thing to do.

4. Building a 2025-Ready Talent Strategy: Whether you’re downsizing, restructuring, or scaling up again — your talent strategy needs to reflect the new reality.

Hybrid hiring: Use AI for efficiency, but train humans for strategy. The best recruiters aren’t just sourcing candidates — they’re guiding leaders, shaping culture, and adding real value.

Focus on skills, not titles: As jobs change faster than ever, the smartest companies are hiring for adaptability, problem-solving, and communication — not just resumes and buzzwords.

Invest in people on the way in and the way out: Great companies are remembered not just for who they hire, but how they exit.

Remember: people remember how you treat them in times of transition. If you want to build long-term loyalty — even among ex-employees — how you manage layoffs speaks volumes.

5. So, What Should You Be Doing Right Now? If you’re a company:

Start conversations early: If layoffs are coming, don’t wait until the last minute. Get a plan in place — and talk to outplacement partners like us ahead of time.

Tailor your support: A VP has different needs than a coordinator. Your outplacement strategy should be tiered, personalized, and proactive.

Communicate with transparency: Let employees know what to expect. Share the support available. Be human. It makes a difference.

If you’re in HR or recruitment:

• Advocate for a better exit experience.

• Partner with vendors who truly understand both hiring and offboarding.

• Prepare your team for the dual challenge of supporting those staying and empowering those going.

If you're a recruiter navigating this time:

• Know that you’re not alone. The industry is evolving — but your role is more valuable than ever.

• Build your own brand. Share how you approach hiring and exits with empathy.

• Help companies realize that recruitment isn’t just about filling jobs — it’s about building futures.

This Isn’t the End — It’s a Recalibration

Layoffs, automation, rehiring — it’s easy to feel overwhelmed by it all. But here’s the truth:

We’re not heading toward a people-less workplace. We’re heading toward a people-first reset.

The companies that win in the next era of work won’t be the ones who cut the fastest. They’ll be the ones who transition with integrity, communicate with care, and hire with humanity.

You can’t make this stuff up

_{(*Disclaimer: these are real experiences provided by RME's community of job seekers and hiring managers)}

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As strategic recruiting specialists, The Wohl Group offers a full range of recruiting and consulting services for businesses and hiring managers. We strive on a daily basis to provide each client and candidate we speak with the best resources for the hiring process.

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