Intuit to lay off over 3,000 employees to refocus on AI

Enterprise bundle elephantine Intuit is letting spell 17% of its staff, oregon astir 3,000 people, arsenic it seeks to divert resources towards baking successful AI into its products, Reuters reported, citing an interior memo sent to employees.

The memo by CEO Sasan Goodarzi said the layoffs are meant to trim complexity by simplifying the company’s firm operation and assistance it absorption connected AI efforts, according to Reuters.

The company, which makes accounting, taxation and idiosyncratic concern bundle similar TurboTax, QuickBooks, and Credit Karma, had 18,200 employees worldwide arsenic of July 2025, according to its annual report.

Intuit did not instantly instrumentality a petition for comment, oregon respond to questions astir whether its management, directors, oregon its CEO would instrumentality a wage cut. Goodarzi’s salary was worthy $36.8 million, including currency incentives and banal awards, during fiscal 2025.

The layoffs travel during a atrocious twelvemonth for the tech workforce. The tech manufacture has already chopped much than 100,000 jobs this year, per Statista, and is connected way to outpace some 2024 and 2025 if the layoff inclination continues.

Companies specified arsenic Amazon, Block, Cisco, Cloudflare, Meta, Microsoft and Oracle person fto spell of thousands of employees each, each echoing 1 different successful citing a request to refocus expenditures astir AI projects arsenic a crushed to chopped jobs and restructure their organizations.

At the aforesaid time, each of these companies person precocious reported beardown revenues and profits, citing the evident beardown request for AI products, services, oregon the infrastructure to powerfulness AI. Nearly each these companies’ stock prices person risen, too, arsenic investors stake that AI volition service arsenic a caller avenue of maturation for bundle companies everywhere.

Intuit, however, hasn’t been perceived arsenic a beneficiary of the AI boom, with its shares consistently underperforming the broader S&P 500 implicit the past 12 months. The institution has been caught up successful the broader existent of worries that accepted software-as-a-service firms volition not beryllium capable to support up oregon compete, arsenic caller and upcoming AI products and services endanger to some alteration however bundle is developed and however it is used.

In its fiscal 2nd 4th ended January, Intuit reported gross of $4.65 billion, a 17% increase, and nett net of $693 million, a 48% betterment compared to a twelvemonth earlier.

The institution expects gross to summation by astir 10% successful the 3rd quarter, for which it volition study results aboriginal today.