Gen X is in a tough spot. They're not the wide-eyed newcomers who will work for less, and they're not the entrenched executives who hold the final say. Instead, they sit in the middle: experienced, expensive, and often overlooked. That combination has made them a target as companies cut back.
If you want to stay on the right track to build wealth, it's worth knowing why Gen X is often first in line for layoffs and what you can do to stay secure.
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Gen X salaries make them easy targets
By mid-career, most Gen Xers earn more than younger colleagues. That's great for household finances, but it makes them a bullseye when companies need to shrink payrolls.
From a business standpoint, one Gen X salary might cover two fresh hires. That math is hard for leadership to ignore, which can lead to middle-management positions being targeted when finances get tight.
Tech stereotypes work against them
Gen X knows their way around a smartphone, but they didn't necessarily grow up with them. Younger employees are seen as more adaptable with automation, AI, and new digital tools.
Today, many jobs require digital skills, even in industries that aren't traditionally very tech-heavy. Even if Gen Xers are perfectly capable, the perception that they're slower to adapt makes them more replaceable.
Remote work reshaped expectations
Gen X built careers in an era where being at your desk mattered more than logging into Slack. Now, hybrid and remote setups dominate. According to a Gallup poll, 28% of employees in remote-capable jobs are now exclusively remote, and over half of these employees work from home at least some of the time. In fact, only 21% of the workforce is now on-site for these positions.
For some Gen Xers, that transition has been bumpy. Struggling with digital collaboration or showing reluctance to change can put a target on their backs.
- 18-29
- 30-39
- 40-49
- 50-59
- 60-69
- 70-79
- 80+
Age bias still lingers
Age discrimination is illegal, but it persists. Many older workers have experienced or witnessed age bias at some point. There are numerous assumptions surrounding older workers, such as that they're less trainable or nearing retirement. These assumptions can impact managers' decisions during layoffs, leading to serious practical issues for many Gen Xers.
Middle managers face disappearing roles
Boomers still hold many leadership positions, and millennials now make up the largest share of the workforce. Gen X? They're outnumbered and underrepresented. Middle managers often get caught in the crossfire when organizations restructure, leading to a disproportional number of Gen Xers getting laid off. When layers disappear, midcareer leaders lose influence and the informal protections seniority once offered.
Investment in training favors younger workers
Large employers are investing in training for automation and AI. The World Economic Forum highlights widespread skills disruption ahead, and who gets training matters. Employers may prioritize earlier-career hires as longer-term investments, so midcareer workers risk being under-reskilled unless they pursue targeted credentials and visible project work.
Culture fit now defines who stays
"Culture fit" increasingly signals digital-first, rapid change, and flexible hours. HR research shows cultural alignment affects retention. Gen Xers who prefer clearer boundaries or traditional rhythms may be perceived as misaligned (even when they deliver results), making them easier to cut when leaders lean on cultural signals over tenure.
Visibility and metrics drive job security
Today, measurable outputs matter as much as tenure. Research on layoffs and performance indicators shows employees who can point to recent, quantifiable wins (revenue, cost savings, KPIs) are less likely to be cut.
Gen Xers who document and broadcast measurable impact and who adapt to digital performance dashboards reduce the chance they're seen as replaceable. Gen X may not be accustomed to this type of broadcasting, which could put them at risk.
Bottom line
According to the U.S. Department of Labor, Gen X makes up about 31% of the U.S. labor force. This means that these cuts have ripple effects not just for individuals, but for entire industries that depend on their institutional knowledge.
Gen X workers are facing mounting pressures in today's job market, with many employers prioritizing younger, more tech-native talent or cutting costs by targeting mid-career professionals. To withstand economic downturns, Gen X employees may need to prepare themselves financially by diversifying income streams and upscaling in technology.
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