Thomson Reuters is cutting parts of its global engineering workforce while preparing to expand hiring for senior and AI-focused technical roles.
Reuters reported that the company described the move as affecting a “small number of roles,” although an employee who attended an internal technology meeting said as many as 500 jobs could be eliminated.
A reduction of that size would amount to about 1.8% of Thomson Reuters’ total workforce of roughly 27,100 people. It would also represent around 5.2% of the 9,400 employees working in its operations and technology division.
The company said the changes reflect evolving customer needs across legal, tax and regulatory services, where AI is becoming increasingly central to product development and workflow automation.
Thomson Reuters said affected staff would receive support, while the group continues recruiting in other technical areas. It expects to create more than 250 new engineering positions worldwide over the next two years, with most of those roles aimed at senior candidates and engineers with AI-focused skills.
AI spending reshapes the wider tech workforce
The Thomson Reuters reductions sit within a much larger wave of technology-sector layoffs in 2026.
Technology companies have cut close to 154,000 jobs so far in 2026, as employers shift spending toward AI, automation and leaner operating models.
Oracle has recorded more than 20,000 job losses, while Amazon has cut 16,600 positions. Cognizant follows with 15,000 reductions, with Meta and Microsoft also carrying out major rounds of layoffs.
The pattern points to a reallocation of budgets rather than sweeping layoffs, as companies decide which work can be automated and which new capabilities will be needed to support their AI strategies.
The limits of replacing engineering judgment
Thomson Reuters has not disclosed which engineering functions are likely to be affected, leaving the impact across software, infrastructure and product teams unclear.
However, the value of retaining experienced technical specialists has already become clear elsewhere.
Ford recently strengthened its quality operations by hiring, promoting or bringing back more than 350 experienced engineers after automated systems proved unable to fully match the judgment of veteran specialists.
Ford continues to use AI extensively, including more than 100,000 software tests, but its decision showed that automation works best when paired with people who understand complex systems, recurring faults and real-world operating conditions.
For companies reorganising around AI, the central challenge is no longer simply how many roles technology can replace, but which forms of expertise remain too valuable to lose.
