On May 20, Intuit—the parent company of TurboTax, QuickBooks, Credit Karma, and Mailchimp—informed employees via an internal memo that it plans to lay off roughly 3,000 workers, accounting for about 17% of its global workforce of approximately 18,200 employees; Reuters was the first to report this news. Signed by CEO Sasan Goodarzi, the memo described the cuts as a measure to ‘reduce organizational complexity and streamline operations,’ aimed at redirecting resources toward the company’s ‘core strategic bets,’ including embedding AI capabilities across all its products and services. Affected U.S. employees will remain on the payroll until July 31 and will receive 16 weeks of base pay plus two additional weeks of severance pay for each year of service. The company also announced it would close its offices in Reno and Woodland Hills to consolidate teams at its main hubs. On the day the news broke, Intuit’s stock (INTU) initially dropped nearly 5% before partially recovering.
Separately, Intuit disclosed it had signed multi-year partnership agreements with both Anthropic and OpenAI: it will integrate the AI models Claude and ChatGPT into its own products, while also contributing its expertise in taxation, finance, accounting, and marketing to both AI platforms. Goodarzi highlighted these collaborations as key strategic pillars for the restructured company. Notably, Intuit joins a growing list of tech firms that have cited AI-driven transformation as justification for layoffs since 2026; on the same day, Meta also announced plans to cut around 8,000 jobs. According to Layoffs.fyi, over 140 tech companies have collectively laid off more than 111,000 employees so far in 2026—a figure surpassing the roughly 124,000 total layoffs recorded throughout 2025. At a World Economic Forum meeting in January, industry executives told Reuters that some firms might leverage AI narratives to legitimize redundancies they had planned long before.