Get Ahead: AI layoffs are backfiring while flexible talent keeps sprinting ahead
32% of hiring managers brought back roles they cut for AI. No wonder talent platforms are forecasted to grow 18.6% a year through 2033.
Matthew MottolaGet this in your inbox every week. Join 26,000+ subscribers.
Hey everyone,
Happy Diwali to everyone in our community who celebrated this weekend! Diwali is the festival of lights, and kind of like this newsletter, every Monday we try to shine a light for you leaders driving flexible talent forward. 🪔
Here's what stories stand out to start the week:
| • | AI layoffs are backfiring.
 From our 2026 Annual Flexible Workforce Study, releasing on the December 3 community call. | ||||||||
| • | Hiring is back.
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| • | Flexible talent keeps sprinting ahead.
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| Access all stories » |
Here's what I'm thinking about:
AI really is meant for us (especially the fractional/interim segment).
We're about to release our annual report on the growth of the flexible workforce. According to the data, executive level expertise is a top 5 growth segment.
We'll release this data on our December 3 community call, as well as include a special guest who's a former Randstad SVP that's seeing staffing firms open up fractional and interim services to meet this demand.
But why do I tie this to AI? Because anyone who's deep in AI implementation, knows context is the bottleneck for successful AI, and context comes from expertise.
And what's the easiest way to access expertise? A flexible talent model. Whether you call it try before you buy, on-demand, or just stick with the expertise your network has.
EORs and Sourcing Solutions - you should be best friends right? Yet are you?
If you look at my inbox right now, you'll see two types of emails. One is from sourcing solutions asking where to point their GTM in 2027? The second is EORs asking how to create new and differentiated revenue streams alongside their traditional EOR/AOR/COR offerings.
My answer to both is simple - partner.
Most are taking action as we speak. Deel is seeing success with Deel Talent.7 Charlie McGinn of Safeguard Global led an expert session with the community last month.
What are you doing?
In person really is where it's at.
We've done a dinner every month since September, and so far every dinner is better than the last.
Why? I think executives really want to discuss how their talent strategy can be an innovation and growth strategy. I also think our sponsors are incredible and executives want to meet them.
I also think in person is just where it's at. Let's face it - are you outbound burnt out? Have you responded to an outbound email? AEO is important, but from every solution we're talking to, in person dollars are driving the best ROI.
That's it for this week! Want to be better involved with Human Cloud?
If you're a member, check out our community dashboard to see all industry events, M&A activity, and community recordings.
If you're not a member, apply here »
Here's to all you crazy entrepreneurs changing the way the world works,
- Matt
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CEO of Human Cloud. 4x entrepreneur, angel investor, author of The Human Cloud (w/ HarperCollins), with experience advising companies like Microsoft, Deloitte, and G7 governments on how to use flexible talent. |
Featured Events
Human Cloud Executive Dinner, Miami
Thursday, December 10 · 6:30 PM ET · Mastro's Ocean Club, Miami, FL · Invite only
Twenty-five HR, finance and operations leaders at one table.
Hosted with
 |
Hire and pay teams in 187 countries. |
| Request a seat » |
HC Community Call: The fractional workforce
Thursday, December 3 · 12:00 PM ET · Virtual · Members only
We'll release the Annual Flexible Workforce Study, hear why interim and fractional are staffing's fastest growing segment, and compare the tech running your platforms.
Featuring
 |
Sarah Mitchell Former SVP, Randstad · Why fractional is staffing's fastest growing segment |
| Save your seat » |
Industry Insights
AI layoffs are backfiring
| • | 32% of companies bring back jobs they cut through automation - People Matters, Nov 4 |
| • | Block makes its second round of job cuts this year - Business Insider, Nov 5 |
| • | Canva cuts or relocates about 22% of its workforce as AI pressures growth - Bloomberg, Nov 3 |
| • | Disney eyes thousands of layoffs, asks managers to target 20% savings - New York Post, Nov 3 |
| • | NICE cuts 500 jobs as AI reshapes customer service - HR Katha, Nov 3 |
| • | Nearly two-thirds of HR leaders expect layoffs in 2027 - HR Dive, Nov 5 |
| • | Employee engagement hits a 15-year low, steepest at companies that adopted AI - HR Dive, Nov 3 |
Hiring is back
| • | US adds 165,000 jobs in October; unemployment falls to 4.1% - Axios, Nov 6 |
| • | ADP: private payrolls add 86,000 jobs in October, topping forecasts - Fox Business, Nov 4 |
| • | Challenger: fewest October job cuts in three years, down 71% - TheStreet Pro, Nov 5 |
| • | US job openings jump to a four-month high as layoffs decline - SIA, Nov 3 |
Flexible talent keeps sprinting ahead
| • | Insight Global is building its own pipeline of AI engineers - Insight Global, Oct 29 |
| • | Upwork launches Upwork Now to hire experts in minutes - Upwork, Nov 2 |
| • | Upwork Q3 revenue falls 8%; its Lifted unit buys EOR WorkMotion for $129.7M - SIA, Nov 3 |
| • | Quess grows general staffing revenue 15% - BW People, Nov 6 |
| • | TeamLease Q2 revenue rises 2% as it shifts its staffing mix - Multibagg AI, Nov 5 |
| • | Barrett Business Services Q3 revenue rises 4.7% on PEO strength - SIA, Nov 5 |
| • | Frankiewicz to succeed Prising as ManpowerGroup CEO - Recruiter, Nov 2 |
Deals
Rules for cross-border and gig work
| • | India's central bank eases export reporting rules for freelancers - BW Businessworld, Nov 6 |
| • | H-1B proposal comment period closes November 10 - Dallas Express, Nov 2 |
| • | Uber pays drivers wages and owes $81M in payroll tax, Australia's High Court rules - The Guardian, Nov 3 |
| • | Proposed Dutch freelancer law sparks concern over a three-client rule - IamExpat, Nov 4 |
| • | Colorado's draft AI rules preview new employer duties in hiring - National Law Review, Nov 3 |
| • | Greece proposes new rules for AI in the workplace - GreekReporter, Nov 3 |
Industry Events
| • | SIA Healthcare Staffing Summit · Nov 9 to 11 · Arlington, TX |
| • | APSCo International Forum: Global Compliance · Nov 10 · London, UK |
| • | ERE Recruiting Innovation Summit · Nov 10 to 11 · San Diego, CA |
| • | SHRM All Things Work · Nov 15 to 18 · Nashville, TN |
| • | Future of Work Europe · Nov 18 to 19 · London, UK |
| • | SIA Executive Forum Europe · Dec 1 to 2 · London, UK |
| • | HC Executive Dinner, hosted with Safeguard Global · Dec 10 · Miami, FL · Request a seat » |
Sources
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