Dow plans to cut about 4,500 jobs as chemical maker places greater emphasis on use of artificial intelligence and automation in its activity.
The company said Thursday it expects between $600 million and $800 million in severance costs related to the cuts. These costs are part of a broader plan to simplify and streamline operations.
Shares of Dow Inc., which has about 34,600 employees worldwide, fell 2% before the market opened. Dow is based in Midland, Michigan.
In January 2025, Dow executives said the company was seeking $1 billion in savings and planned to cut about 1,500 jobs worldwide. In July, it announced the closure of three European factories, which would result in the loss of 800 jobs.
Thousands of job cuts were announced this week after a Frustrating year for American job seekers.
Amazon eliminated around 16,000 positions in the company Wednesday – just three months after dismissal 14,000 other workers. And United Parcel Service announced Tuesday its intention to cut up to 30,000 operational jobs This year.
And like Dow, Pinterest said this week that it eliminated jobs partly due to the increased use of AI.
Americans feel more and more anxious on the chances of finding a job or getting a better one. Economists say businesses are largely at a loss “no hire, no fire” stop. Hiring has generally stagnated – along with the country adding a measly 50,000 jobs last month, down from a revised figure of 56,000 in November.
Rising operational costs have accompanied layoffs in some industries, and business leaders cite rising costs, including those from President Donald Trump. pricesas well as changes in spending.
Consumer expectations for the U.S. economy have fallen lowest level since 2014. This is happening as some companies downsize their workforce as they redirect money to artificial intelligenceoften integrated into a broader corporate restructuring.