Intuit cuts 17% of workforce in restructuring aimed at AI platform scalability

Intuit just told roughly 3,100 employees that their roles are being eliminated, a move the company says has nothing to do with AI replacing humans and everything to do with becoming a “faster and leaner company.” The restructuring, announced on May 20, will cost Intuit between $300 million and $340 million, mostly in severance packages. Affected positions will officially end on July 31, 2026. What Intuit is actually doing The company is cutting across its global workforce of approximately 18,200 employees, consolidating teams into strategic hubs and flattening management layers. US employees caught in the restructuring will receive 16 weeks of base pay plus two additional weeks for every year of service. CEO Sasan Goodarzi was explicit that the cuts weren’t driven by AI automation. Instead, he framed the restructuring as an organizational simplification designed to eliminate redundant roles and improve agility. The company wants to refocus resources on three primary growth areas, with scaling its AI-native platform sitting at the top of that list. Intuit posted fiscal Q3 revenue of $8.6 billion before announcing the layoffs, suggesting this isn’t a distress move. This is a profitab...