Why Hiring Has Slowed Without Mass Layoffs

Knowledge at Wharton

  • Feb 18, 2026
  • 10:17
  • Full Episode

ABOUT THE EPISODE Peter Cappelli, Professor of Management and Director of the Center for Human Resources at The Wharton School, examines the cooling in white-collar job openings, the impact of investor-driven cost cutting, the concept of “AI washing,” and why economic uncertainty is keeping companies cautious about expanding their workforce.

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Brief Summary

Peter Cappelli discusses the US labor market's hiring trends, job openings, and AI's impact on employment.

Key points

  • The Current Labor Market. Hiring is leveling off, but layoffs are not increasing, creating uncertainty.
  • AI's Impact on Jobs. Companies are under pressure to claim AI is driving job cuts, even when it's not.
  • Future Hiring Patterns. Employers are hesitant to hire due to uncertainty about AI and economic conditions.

Tension

40/ 100Low tension

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