Dow Inc. said it will cut approximately 4,500 jobs as it shifts more emphasis to artificial intelligence and automation as part of a broader effort to simplify operations and streamline, adding to a week marked by layoffs across major U.S. employers.
In a statement Thursday, the company said it expects about $600 million to $800 million in severance costs related to the cuts. Dow also said the costs are part of a plan aimed at simplifying operations and streamlining business processes.
The company said shares of Dow Inc., which it described as having about 34,600 employees globally, fell 2% before the market opened. The chemicals maker is based in Midland, Michigan.
The Dow announcement came as employers across sectors trimmed workforces, a backdrop that has left many U.S. job seekers anxious about prospects for finding a job or landing a better one. The Associated Press reported that thousands of job cuts were announced this week after what it described as a frustrating year for job seekers.
The layoffs were not limited to traditional industrial firms. The AP reported that Amazon slashed about 16,000 corporate roles on Wednesday and that United Parcel Service said on Tuesday it plans to cut up to 30,000 operational jobs this year.
The AP also noted that Pinterest said it was cutting jobs in part due to increased usage of AI. Business leaders cited a mix of pressures, including rising operational costs and spending shifts, while some pointed to the effect of President Donald Trump’s tariffs.
Alongside the corporate announcements, the AP said economists have characterized the overall job market as a “no-hire, no fire” standstill, and said hiring has stagnated overall, with the country adding a meager 50,000 jobs last month.
The AP tied those developments to a broader pattern in which companies reduce headcount while redirecting money toward AI that is built into wider restructuring efforts. A separate indicator cited by FRED for the week of this publication—U-6 at 8.4—captures broader underemployment, including discouraged workers and involuntary part-time employment.
In this environment, Dow’s restructuring reflects how AI and automation are increasingly becoming part of corporate cost and operational strategies, even as the pace of hiring remains uneven for many workers.