We’ve discussed AI ad nauseam over the past year. And we surely will return to it more throughout 2026, but today, let’s use it as a jumping-off point to discuss the workplace, which has been “stripped of fun” just as the “AI dread era” is already setting in.
Employment whiplash
In the aftermath of the pandemic, as employers were racing to persuade workers to return to the office or simply join their teams, many companies “stepped up perks, like better coffee and food.” Some companies went as far as to offer employees e-bike subscriptions to offset commuting costs, organized private concerts, and installed golf simulators or other in-office entertainment. Basically, they offered employees fun and community as a lure – and for some employees it worked. But those very same perks are rapidly disappearing as companies look to cut expenses as tariffs and inflation impact their bottom lines.
And that is just for the “fun” stuff. Other cuts that impact workers’ pay and quality of life are also leaving employees wondering if their jobs and employers are really all that great and what happened to the amazing workplace that existed just a couple of years ago.
No extra pay or time off
Shortly after being acquired by a private equity firm last August, Walgreens informed its employees that it was removing six paid holidays for its hourly store workers, including Thanksgiving and Christmas. If workers wanted to be paid for the holiday, they would have to work the limited shifts that were available for those days. One manager told Bloomberg that she would likely lose out on about $1,000 in wages throughout the year and would have to cut back on her family vacation to make up for it.
Walgreens isn’t alone in slashing employment wages and vacation time. One survey estimated that 27% of companies have decreased their current employees’ salaries and 23% have reduced paid time off and vacation days for employees. A reduction in vacation days, in particular, can really squeeze the joy out of the workplace. A research study found that rewarding workers with vacation time helps workers feel more human, more so than additional money. In a follow-up analysis, the researchers found that workers who felt more human were more likely to be satisfied with their jobs and much more engaged at work, which could in turn reduce turnover for companies.
Even stock options are on the chopping block at tech companies that frequently use them to attract top talent. For example, Meta reduced its distribution of stock options by about 5% for most of its staff this year. Last year, the company reduced those bonuses by about 10%.
“Nice-to-have” perks
Deloitte, one of the largest consulting firms in the U.S., recently informed employees that it was scaling back its “nice-to-have” employment perks. For certain categories of employees, this includes reducing paid family leave from 16 to 8 weeks, eliminating the $50,000 reimbursement benefit for adoption, surrogacy, and IVF, and a halt to additional accruals under the company’s pension plan. Other benefits that have been cut by companies include child-care stipends (many of which were added after the pandemic to lure employees back to the office), wellness programs, and retirement benefits.
While not all employees will be impacted the same, companies such as Deloitte that have chosen to reduce such benefits may actually be participating in “quiet firing.” By reducing benefits, it is likely that some employees will choose to leave the company. This may allow companies to “avoid severance payouts, reduce legal risks and avoid bad press linked to formal layoffs.” In a 2025 survey of 1,100 business leaders in the U.S., 53% said they would be quiet firing employees. Top tactics included delaying raises, increasing in-office days, and cutting benefits.
