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Will AI-driven layoffs balloon the boomerang employee population?

April 21, 2026
in Human Resources
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Will AI-driven layoffs balloon the boomerang employee population?
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After Oracle laid off thousands of workers via an early-morning email, it stoked widespread discussions, particularly across the HR profession and in tech sectors, on how organizations treat employees on the way out—from how they set the bar for severance packages to the ways in which they manage the social media fallout.

Those steps could become increasingly thorny for HR, who may want to eventually take advantage of the “boomerang” employee trend—or those who return to an organization after a separation. New research finds that many employees are willing to count themselves among that population and HR professionals are increasingly looking to re-engage them.

A study earlier this year from Careerminds found that, of the 600 HR professionals whose organizations laid employees off over the last year to make way for the influence of AI, about two-thirds had already rehired some of those employees. About 36% had hired back more than half of the laid-off employees, and just under one-third welcomed back between 25%-50% of them.

The findings highlight the complexities facing HR in an environment where the optimal balance between human and AI work is still materializing.

While many organizations have been hesitant to acknowledge how much AI has driven layoffs, others are stating it outright: Block recently laid off about 4,000, nearly half its staff, citing the company’s deep investment in AI. Pinterest slashed 15% of its workforce in January, with the stated reason being funding the company’s AI transformation. Challenger, Gray & Christmas reports that organizations affirmed that about 55,000 layoffs were a direct result of AI in 2025.

Yet, by and large, companies aren’t actually ready for AI to replace those employees. J.P. Gownder, Forrester’s vice president and principal analyst, recently wrote that the vast majority of organizations his firm talks to don’t have the AI infrastructure in place to fill gaps left by layoffs.

“When we ask if they have a mature, vetted AI app ready to fill in those jobs, 9 out of 10 times, the answer is no—and they haven’t even started,” Gownder says.

That reality likely resonates with HR. In Careerminds’ research, only about 20% of HR professionals whose organizations conducted AI-driven layoffs said the AI replacement kicked off without issues; 90% said they’d rethink aspects of the layoffs if given the chance.

Rising opportunities for boomerang employees

While buyer’s remorse over AI-driven layoffs may fuel pivots in workforce planning, HR may not need to look far for talent.

A recent survey of more than 1,000 U.S. workers by MyPerfectResume found that more than 55% view returning to a former employer as a “smart career move,” while just 5% say boomeranging signals “failure.”

However, calling workers back, particularly after a layoff, isn’t as simple as blasting out some offer letters. Boomerang employees are often looking for change.

Two-thirds said they’d be most inclined to return if there was a change in leadership—and the same amount would be motivated by better work/life balance. Meanwhile, about a quarter would look for new development opportunities.

How employees left—and how they’re welcomed back—matters. A full 98% of employees said “leaving on good terms” matters to their decision to eventually return, and more than 70% said that if the organization tried to re-recruit them, communication must be steeped in respect for them to consider the offer, or to recommend the organization to others.

“Reputation and relationships outlast a single job,” researchers say. “Treating departing employees with respect builds long-term goodwill and strengthens the employer brand.”


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