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EXPLICITAI LAYOFF
Chegg: 388 jobs cut
October 27, 2025USEducation TechnologyChegg
Chegg cut 45% of its workforce after students stopped paying for homework help because ChatGPT and other AI tools provide the same answers for free. The company explicitly cited AI and automation as a primary driver of the workforce reduction. This is part of a broader pattern in Education Technology where companies are restructuring operations around AI capabilities while reducing headcount in functions susceptible to automation.
Conservative
388
Core Estimate
388
Upper Bound
388
Sources
PrimaryFinal Round AIOctober 27, 2025
Chegg cuts 50% of workforce as AI disrupts education market
Chegg cut 45% of its workforce after students stopped paying for homework help because ChatGPT and other AI tools provide the same answers for free.