If you were hoping for a "return to normal" in the job market, you might want to buckle up. The Society for Human Resource Management (SHRM) recently surveyed company leaders across the U.S. to gauge their priorities for 2026, and the results suggest a year of significant transformation—and a fair bit of turbulence.
From aggressive AI rollouts to predicted downsizing, here is what’s on the minds of the C-suite and what it means for the American workforce.
1. AI is the #1 Priority (Even Over Revenue)
The debate over whether AI is a fad is officially over. According to SHRM, adopting more AI is the foremost goal for company leaders in 2026, ranking higher than hiring and even revenue growth.
However, the "why" behind the rollout is shifting:
Beyond Cost-Cutting: James Atkinson, SHRM’s VP of thought leadership, notes that CEOs are viewing AI as a tool to add value rather than just a way to slash budgets.
The Upskilling Mandate: There is a "strong consensus" (87%) among CEOs that AI-driven upskilling and reskilling will be a major focus. Leaders are finally realizing that an AI tool is only as good as the person trained to use it.
2. The "Double Whammy" of Layoffs and Labor Costs
Despite the optimism around technology, the outlook for job security remains cloudy. Three in four CEOs believe downsizing will increase across the wider economy in 2026.
While it’s easy to blame robots for job losses, the reality is more complex. Leaders cited several non-AI factors driving the "messy" job market:
Rising Labor Costs: Over 80% of CEOs expect labor costs to climb, which 75% say could trigger restructuring or layoffs.
Macroeconomic Pressure: Inflation and tariffs continue to weigh heavily on corporate planning.
The Agility Play: Many CEOs are looking to redesign their organizations to be leaner, which may mean fewer full-time roles and more reliance on contractors and gig workers.
3. The Trust Gap: AI vs. Worker Sentiment
There is a growing disconnect between the boardroom and the breakroom. While CEOs see AI as an efficiency booster, employees often see it as a threat.
SHRM warns that if a company rolls out AI and then announces layoffs—even if those layoffs are caused by high interest rates or inflation—workers will likely assume AI is the culprit. This "trust gap" is fueled by a lack of transparency and a historical trend of companies using "increased efficiency" as a euphemism for reducing headcount.
The Reddit Reality Check: Social media sentiment mirrors this skepticism. Many workers believe CEOs use AI as a convenient narrative to boost stock prices by firing staff and promising "permanent efficiency" that may or may not exist.
The Bottom Line for 2026
The upcoming year will be a period of "messy" transition. Companies are desperate for top talent—with 25% of CEOs calling recruitment their top challenge—yet they are simultaneously bracing for economic shifts that may force them to let people go.
For employees and job seekers, the message is clear: Skills are the new currency. As companies lean into AI-driven redesigns, those who can bridge the gap between human creativity and machine efficiency will be the most resilient in an unpredictable market.