Why Monday.com just fired 630 humans to hire AI agents
monday.com laid off 630 employees (20% of staff) to pivot its workforce product toward ai agents and automation, signaling a wider shift where enterprise software vendors replace headcount with code.
israeli workplace software maker monday.com is laying off 20% of its staff (630 people) to reallocate resources toward its ai-centric operating system, which now includes customizable agents and workflow automation. the move follows the company's earlier decision to redesign its entire product around the concept of humans working alongside ai, rather than just using software tools. this aligns with industry data showing 78% of tech companies cite ai refocusing as the primary driver for recent cuts, totaling over 122,000 layoffs in 2026 alone. by absorbing significant restructuring costs now, monday.com is betting that agentic workflows will become the dominant enterprise interface, forcing competitors to automate or fall behind.