I'm not convinced the bad market is due to AI at all. That's just a convenient excuse to do layoffs without the bad PR normally involved in admitting you need to do layoffs.
Also, the Open to Work banner has the stink of desperation. Highly recommend disabling it. It's like dating. Act casual.
Then the situation could be far worse depending on the percentage of people feel like you.
The open to work banner is an extremely negative signal. Nobody should use it.
I think it is both a partial contributor but also overstated for the reason you mentioned. The main culprits IMO are over hiring during the zero interest rate period as well as the never ending increases in the supply of CS graduates.