Firms Rehire Workers Replaced by AI
A new SHL report finds many workers would demand higher pay and job guarantees before returning after AI-driven layoffs.
Updated on Nov. 5, 2026 in Job Search
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Employers that replaced workers with artificial intelligence are attempting to rehire them, a pattern known as AI rebounding. An SHL report released October 29 found more than half of surveyed U.S. and U.K. workers have witnessed the trend directly, through someone they knew, or by hearing about it.
Why it matters
The findings suggest organizations are making fast decisions about people based on an incomplete picture of what employees can do with or without AI. Gartner predicts that by 2029, 30% of workers terminated or replaced by AI will be rehired, often at a higher cost.
Among more than 2,000 employed adults surveyed in the U.S. and U.K., nearly 1 in 5 U.S. workers and 13% of U.K. workers report firsthand experience with AI rebounding. Gartner projects 30% of AI-replaced workers will be rehired by 2029.
The players
SHL
SHL is a global talent assessment and workforce science company that published the report on AI rebounding.
Gartner
Gartner is a major technology research and advisory firm whose forecasts are widely cited by business leaders.
The details
AI rebounding has occurred at Amazon, Ford, and Klarna, where employers automated roles before genuinely assessing the human capability inside them. Many of these AI bets did not pan out as planned, leaving employers scrambling for workers again.
Timeline
October 29, 2025: SHL releases its report on AI rebounding and worker demands.
2029: Gartner projects 30% of AI-replaced workers will be rehired.
Market Landscape
Gartner's projection that 30% of AI-replaced workers will be rehired by 2029 frames the current rebounding as an early signal of a longer cycle. The SHL survey offers present-day worker sentiment that tests whether that projected rehiring will be accepted on the terms employers may expect.
Workers considering a return to a role after an AI-driven layoff may need to negotiate for higher pay, job security, and clarity about how AI is used in their position. The survey suggests these demands are common among those who would consider returning.
The takeaway
Job seekers and workers should ask employers directly how AI is used in a role before accepting it. Clear answers on job security and compensation can help avoid being caught in a cycle of replacement and rehiring.
Further reading
Explore more on the Job Search section for context on how hiring trends are shifting.
Source note: This article includes information reported by HR Dive.
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