Hire Calling

Breaking Job News: 60% of Companies Plan Layoffs by 2026 and California’s “No Robo Bosses Act”

• Pete Newsome

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New data from Resume.org shows that 60% of companies plan layoffs in 2026. Even more shocking, 30% of jobs were already replaced by AI this year, and 37% of companies plan to cut even more roles next year.

Who’s at risk? High earners, entry-level staff, and anyone without AI skills. Companies are chasing a “perfect middle” worker, cheap enough, skilled enough, but that strategy could backfire in a big way.

Meanwhile, California is looking to pass the “No Robo Bosses Act” to stop algorithms from making hiring and firing decisions. But can lawmakers really slow down AI? And while all this is happening, “new-collar jobs” careers built on skills, boot camps, and apprenticeships are opening new paths to success.

In this episode, Pete Newsome breaks it all down:
1. Layoffs + AI adoption are reshaping the workforce
2. What the "No Robo Bosses Act" entails
3. The rise of new-collar jobs and what it means for your future
4. If "office-frogging" is a Gen Z or multi-generational problem

News Articles: 
1. Gen Z and Office Frogging: https://www.forbes.com/sites/bryanrobinson/2025/09/18/office-frogging-gen-zs-career-trend-disrupts-employer-expectations/
2. What Are New Collar Jobs: https://www.thehrdigest.com/what-are-new-collar-jobs-the-rise-of-skill-based-hiring-has-a-lot-to-teach-hr/
3. California's "No Robo Bosses Act": https://www.forbes.com/sites/alonzomartinez/2025/09/19/californias-no-robo-bosses-act-could-reshape-workplace-ai-rules/
4. 6 in 10 Companies Plan To Lay Off Employees in 2026 Amid Economic Uncertainty: https://www.resume.org/6-in-10-companies-plan-to-lay-off-employees-in-2026-amid-economic-uncertainty/

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Pete Newsome:

Today's job market headlines include a potential new no robo bosses law and two new trending office terms you probably haven't heard and we probably don't need. But first there's a new survey available from resumeorg and it's cause for concern. It shows that six in 10 companies are planning layoffs in 2026. They cite economic uncertainty, new trade policies and, not surprisingly, ai adoption. The high salary employees are getting hit the hardest, or those who don't have AI skills, and entry-level staff too. So this is bad for the high end. It's bad for the low end.

Pete Newsome:

Kara Denison from resumeorg says that high salary roles are often targeted first because companies see immediate savings in payroll and employees lacking AI skills are vulnerable because organizations are accelerating automation. Everyone is looking for that sweet spot in the middle employees who have just enough experience, but not too much, and aren't too expensive. But here's the problem with that You're excluding those who are most experienced in the workforce. That ageism is something every organization should be aware of and fight at all costs. And then you're also excluding our future. The most important part of the workforce is young professionals, who are going to be replacing the retiring baby boomers. They were going to have a bad imbalance and it's already starting to take place. So, yes, there's a lot of workers who don't have experience, but they have to get it somehow. So companies should fight what's happening and this is survey data that I really don't like to see, for obvious reasons and it also showed that nearly 30% of companies have already replaced jobs with AI so far this year and that next year, 37% expect to replace roles with AI outright. So companies are signaling that AI is way more than hype and it's really reshaping workforce planning in a real and painful way, unfortunately. So that's what we have to look forward to, going into 2026, according to this new survey.

Pete Newsome:

In other news, california is on the verge of passing Senate Bill 7, which is referred to as the no Robo Bosses Act. It would become one of the most far-reaching workplace AI laws in the country if it's signed by the governor. The bill's already cleared both chambers of legislature and so, if it's signed, it'll take effect on January 1st. Now here's what it does it requires employers to inform workers and applicants when automated decision systems, like through AI algorithms, machine learning tools, are used in employment decisions. Notices must explain what data is collected, how it's used and what it affects. The second thing it does is it prevents companies from relying solely on AI to discipline, terminate or deactivate workers. Human review and additional evidence, like personnel files and evaluations, are required. Third thing it does is it makes sure that job postings or application acknowledgements clearly state if AI will be used in making the evaluation. And then, fourth, it gives workers the ability to request copies of their personal data when it's used in automated decisions involving discipline or termination. So to me, this sounds like a compliance nightmare, both for employers and anyone who tries to enforce it. I mean, it's good in theory, I guess I mean we need some oversight with AI, but my impression of this and my strong belief is that the AI genie is already out of the bottle. I don't see a state government being able to keep up with the evolution and speed of AI advancement. So, california it looks like they're going to try and, as the author of the article in Forbes put it, the bots aren't taking over, but regulators certainly are. So good luck with that, california. We'll see how it goes.

Pete Newsome:

Shifting gears you've heard of blue-collar and white-collar jobs, of course, but now there are new-collar jobs that prioritize skills over degrees. It's a term that was coined by former IBM CEO, ginni Rommedy, and it reflects a rise of roles that don't require a traditional four-year college degree, but instead value technical and soft skills that can be gained through certifications, boot camps, apprenticeships and even self-taught learning. An HR Digest article says that companies are dropping their degree requirements to expand their hiring pools and address persistent skill gaps. Now this creates an opportunity for employers to tap into a broader and historically overlooked segment of the workforce. It's a trend that I've seen growing for more than a decade, first in IT it's been prevalent there for a while but now in other areas like marketing and healthcare, and I can see it continue to expand. It's great for workers who don't have a degree. But don't get me wrong there are countless reasons to still go to college, but it's no longer the gate to entering the professional world that it used to be. I see practical experience trumping a generic bachelor degree nearly every time. So for students and their parents, who tend to go down that college path by default, it's important for them to be aware of what's going to be on the other side of that four-year degree and a lot of money spent. So, before deciding, consider all your options and know that many alternate and equally attractive options exist.

Pete Newsome:

And finally, for today, there is yet another new career term office frogging. It refers to Gen Z's tendency to jump from one job to another in search of better pay and new skills. Okay, this is not a new thing and it's certainly not specific to Gen Z. People always have and always will change jobs for more money and a better opportunity, based on however they define it. Now, this comes from a Forbes article where the author recommends considering three things before office frogging and I vow to never say that phrase out loud again after this.

Pete Newsome:

But here's what he recommends. First, be mindful of how job hopping might look. I agree with this for two reasons. If you move frequently and consistently, a prospective new employer will assume you'll do the same if they hire you and they will absolutely consider that if they're intending to invest in you for the long term. Now we know there's no commitment that really is long term, but companies know that they're going to have to put typically a lot of money and time and effort into bringing a new hire up to speed, and if they don't think you're going to be there, that will weigh into their decision for sure. And second, employers want to know that candidates are able and willing to persist and succeed during challenging times, and a candidate who hasn't gone through that cycle of more than two years really hasn't demonstrated that they can. So there are many reasons to make a move, but it's as the author says, it's important to be aware of how it's going to look, perception being reality.

Pete Newsome:

The second thing he recommends is to make sure that each role is worth the move, and I think that goes without saying. Third, don't speak badly of your old employers. It happens a surprising amount of time. I have many, many stories of candidates who otherwise would have been hired blowing their chances because they had bad things to say about their former employer. So just keep it to yourself, even if you think it.

Pete Newsome:

As someone who's worked with hundreds of hiring managers over the years, my overall advice when considering a career move is to think about what it represents for your overall career trajectory. So look beyond today or tomorrow and determine whether that move is going to take you closer to where you ultimately want to land. And if it does, great, you are probably making the right decision. And as the old saying goes, don't run from something, run to something. I mean, if you let that be your guide, chances are you're going to end up making the right choice. And then, when you do make that decision to go forward, do it full speed and don't look back.

Pete Newsome:

And before we go, our fun fact for the day in ancient rome, actors were considered to be the lowest social class, while in ancient Greece they were highly respected. So, depending on your perspective of actors, are they highest, are they lowest on the social scale? I don't know. I watched the Amuse the other night. We all have our opinions on how they come across, but they certainly see themselves at the top of the ladder. So there we are. Thanks for listening. Please like and subscribe, share with anyone you think might be interested and I welcome any comments. I'll see you next week.