THE HOT STORY

Some companies regret AI-driven layoffs and are rehiring

CNBC reports on companies that have walked back their hiring plans after rapidly changing their minds that artificial intelligence can “do it all,” to focus more on human capital. Ford has rehired hundreds of experienced human engineers to work on quality issues that automated systems couldn’t fix, and Commonwealth Bank of Australia and IBM are also said to be refocusing on human capital after making layoffs while investing in AI. IBM replaced its HR functions with AI that handled around 94% of routine requests but was unable to meet the other 6%, which included ethical dilemmas. “Budgeting on ‘tech to replace humans’ without investing in training or upskilling left teams unprepared to leverage AI,” a report from Intuition Labs observed. “Notably, among companies pushing automation, many later ‘regretted’ layoffs, having cut the very people needed to oversee AI,” it added.

CNBC

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POLITICAL

AfD leader vows to restore German-Russian ties

Alice Weidel, co-leader of the Alternative for Germany (AfD), has called for an end to the boycott of Russian oil and gas to revive Germany's struggling economy. Weidel told Reuters: "Cheap energy ‌from Russia was the secret of the success ‌of 'Made in Germany'. We need it back . . . The loss of this energy has set us back years. Hundreds of thousands of jobs have been lost. It has made us dependent ⁠on the United States, ⁠which sells us energy at far higher prices." She believes that winning upcoming elections in Saxony-Anhalt and Mecklenburg-Vorpommern could pave the way for the AfD to secure the chancellorship by 2029.

U.S. News

WORKFORCE

Mercedes wants its employees to work longer hours for the same salary

Mercedes Benz has told its employees that it wants them to work longer hours for the same salary. "The cost per hour must decrease – in development, sales, administration, and production . . . we should work more for ⁠the same pay in all areas," CEO Olaf Kallenius wrote in a note to the German carmaker's employees. Mercedes' works council said employees are expected to bear the burden of the company's challenges - even though responsibility does not lie with them.

Reuters

Europe’s rearmament drive is sustaining 195,000 US defence jobs, Nato chief says

Nato secretary-general Mark Rutte says Europe’s rearmament drive is sustaining 195,000 US defence jobs through arms orders, making an economic case for Donald Trump to remain committed to the alliance.

Financial Times

STRATEGY

Microsoft to cut under 2.5% of workforce in latest layoffs

Microsoft plans to cut under 2.5% of its workforce in the latest round of layoffs that could be announced as early as ‌next week. The layoffs will impact thousands of roles, including sales and consulting, as well as jobs at the company's Xbox gaming division. Some affected employees will be offered new roles immediately, according to people familiar with the situation.

Business Insider

TikTok to cut 300 jobs in Dublin

TikTok plans to reduce its workforce in Dublin by approximately 300 jobs within its trust and safety team. The decision is part of a broader strategy to enhance AI moderation capabilities. The company said the consultation may affect teams in other regions, though specifics were not disclosed.

The Independent UK

ECONOMY

ECB’s interest rate increase wasn’t an ‘insurance hike,’ Lagarde says

Opening the European Central Bank’s annual Sintra conference, ECB president Christine Lagarde indicated that the bank can once again rely on interest rates as its main tool to keep inflation under control after more than a decade of bond buying, emergency lending and forward guidance. "Monetary policy has gone back to basics," Lagarde said, adding however that returning to conventional tools "does not mean a return to the same idealised past." Lagarde also rejected suggestions that the ECB's decision to raise interest rates in June was simply an "insurance hike," saying: "Our rate increase was justified under every scenario considered . . . Nothing we have observed since then has called this assessment into question." Lagarde also said that the bank had become more resilient to shocks and that tools including its Transmission Protection Instrument allow it to guard against unexpected spikes in borrowing costs in individual eurozone countries.

Euronews

Financial Times

Wall Street Journal

INTERNATIONAL

Supreme Court rejects Trump's plan to limit birthright citizenship

The US Supreme Court has upheld the Constitution's guarantee of birthright citizenship, rejecting President Trump's attempt to limit citizenship for children born to undocumented or temporary residents. Chief Justice John G. Roberts said: “Citizenship, then and now, was the right to have rights - to freely participate in our political community . . . The Framers of the 14th Amendment extended that promise to ‘every free-born person in this land.' We keep that promise today.” The American Civil Liberties Union (ACLU), which represented the immigrants who challenged the executive order, called birthright citizenship “foundational to who we are as a nation.” Cecillia Wang, the ACLU's national legal director, told the justices in her oral argument: "Ask any American what our citizenship rule is and they'll tell you, everyone born here is a citizen alike . . . The 14th Amendment's fixed bright-line rule has contributed to the growth and thriving of our nation."

The State Journal Register

Time.com

Los Angeles Times

U.S. News

EY staff accused of accessing Australian prime minister's bank account

Two junior EY employees have been accused of improperly accessing the bank account of Australian Prime Minister Anthony Albanese while on secondment at Commonwealth Bank of Australia, according to people familiar with the matter. The employees, who joined EY in March, were subsequently dismissed after the alleged breach was discovered. Reports also indicate that the pair accessed the account of at least one EY partner before the bank alerted the firm. The Australian Federal Police have charged two men, ages 21 and 25, with unlawfully accessing restricted personal banking information belonging to a federal parliamentarian. The case is due to be heard in a Sydney court, while Commonwealth Bank and the prime minister's office have declined to comment on the incident.

Bloomberg

Financial Times

The Guardian

Workers throughout Brazil demand shorter work week

Hundreds of bus drivers in Rio de Janeiro protested on Tuesday, demanding better pay, improved working conditions, and an end to the six-day workweek. Alexandre Garrido, a bus driver for 20 years, highlighted the impact of long hours on family life, saying: "You can't spend quality time or go out with your family, give attention to your children, visit relatives, or have a day like going to a restaurant to have lunch together." A proposed constitutional amendment to limit the workweek to 40 hours is currently under Senate review, and is backed by President Luiz Inácio Lula da Silva. If passed, it could significantly improve the lives of many Brazilians, particularly those in lower-income jobs. However, businesses say that reducing the workweek could increase labour costs and slow economic growth. The country's National Confederation of Industry argues the annual labour costs could increase by as much as 267 billion reais ($52bn) if the current workweek is reduced. That could slow the economy by 0.7%, the confederation says.

U.S. News

Thai employers rank English as a business-critical skill

Thai employers increasingly view English proficiency as essential for corporate success, according to the TOEIC Global English Skills Report by Educational Testing Service (ETS). The report revealed that 97% of Thai HR executives consider English skills vital, surpassing the global average of 90%. Furthermore, 95% noted that English has gained importance over the past five years. Ratnesh Jha, Global General Manager of Institutional Products at ETS, said AI alone could not close the skills gap. “AI does not close the skills gap; people do,” he said, adding that English had become a core skill that allows workers to communicate across borders, collaborate effectively and use AI tools to their full potential. Companies are now integrating English assessments into recruitment and promotion processes.

The Nation

OTHER

Nearly one million people worldwide became millionaires in 2025

UBS's annual Global Wealth Report reveals that personal wealth grew by 10.8% in 2025, creating nearly 1m new US dollar millionaires globally. The United States accounted for almost half of new millionaires last year, adding more than 440,000 individuals, followed by China, Japan, Germany, France and the UK, which each count more than two million millionaires in total. "The real story is one of continued expansion: more people moving up the wealth ladder," the report said. "The gains . . . point to a world that kept building wealth, deepening its affluent population and extending a long-running upward trend." Despite such growth, the report also noted a deepening wealth inequality, as median wealth declined in many countries. UBS analysed 56 markets, representing over 92% of the world's wealth, highlighting a stark divide between the richest and the broader population.

France 24

U.S. News

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