CSX, Alphabet, Booz Allen Plan to Resume Hiring; Jobless Claims at 1969 Low

Large US companies say they still need more workers. In recent months, big employers have viewed hiring as an expensive last resort. Now a shift is underway across industries. From railroad giant CSX to Google parent Alphabet, companies recently told investors they plan to hire to meet growth targets or seize emerging technology opportunities.

This at least moderate expansion of headcount contrasts sharply with the prevailing corporate narrative for much of the AI era. For a long time, large companies broadly slowed hiring due to economic uncertainty or the belief that AI could take on more tasks. But some executives say the costs and limitations of AI now require adding staff. Others want to rehire after layoffs.

Booz Allen Hamilton, a US government contractor, cut thousands of jobs last year as the Trump administration reduced federal contracts and demanded companies justify costs. As of June 30, the company had about 30,900 employees, down 7.5% from a year earlier. But it now sees strong demand for its services, particularly in national security for staff with security clearances. Chief Operating Officer Kristin Martin Anderson told investors they actually need to accelerate hiring slightly and are addressing that.

For most of the past 18 months, big employers were convinced that fewer workers meant faster growth. US public companies have been cutting white-collar staff. Now layoffs are declining. According to federal data, the number of Americans filing for initial jobless benefits in the latest week hit its lowest level since 1969.

Many of the clients of human resources platform Lattice have resumed hiring across multiple roles, especially entry-level positions. Lattice CEO Sarah Franklin said the shift in hiring trends partly reflects companies reassessing what AI can actually do. Many had stopped hiring junior staff, believing AI agents could fill gaps and take over those tasks. But they later realized human workers remain indispensable and need to work alongside AI.

The hiring rebound is not limited to white-collar jobs. Toolmaker Snap-on said it plans to add staff to expand its business. Railroad CSX said its train and engine service workforce will see a 'moderate increase' in coming months to help meet higher demand, even as it seeks to use technology to offset attrition in other departments. The transportation company noted its total headcount remains below a year ago.

Few companies say they plan large-scale hiring, and firms make clear they are seeking specific types of talent. Software company ServiceNow plans to hire more 'front-line sales executives with quotas who go to market' to capture growth opportunities in areas like cybersecurity.