Monday.com lays off hundreds of employees to focus on AI

Israeli company Monday.com, a developer of enterprise software, announced a 20% reduction in its workforce (approximately 630 employees) as part of a restructuring plan. The goal is to "support a more agile and focused operational model" and redirect investments toward artificial intelligence projects. Earlier this year, the company refocused its platform on AI, making it a core part of the product: it includes a no-code application builder, a customizable AI agent, a workflow automation tool, and a chatbot capable of generating reports and updating dashboards. Monday.com joins a list of major tech firms that have laid off hundreds of thousands of people as they seek to invest more in AI. According to Layoffs.fyi, in May 2026, the number of layoffs in the tech sector reached a multi-year high, with a record 78% of companies citing the need to refocus on AI as the reason for their cuts. Since the beginning of 2026, more than 122,000 jobs have been cut. Monday.com expects the restructuring to cost it between $45 million and $55 million.