The rapid advancement of artificial intelligence (AI) technology has led to many companies replacing human workers with AI solutions in an effort to improve efficiency and reduce costs. While some companies have made public commitments to protect their human workforce, others have embraced the use of AI to streamline operations.
Here are seven companies that have already replaced workers with AI, or are in the process of doing so:
1. MSN: In 2020, US web portal MSN made the decision to replace dozens of journalists with AI software to create news content displayed on their website. The move was attributed to financial difficulties faced by the company, rather than the pandemic.
2. Google: Google has announced multiple rounds of layoffs, coinciding with increased use of AI technology across customer care and ad sales processes. While CEO Sundar Pichai has not explicitly stated that these job cuts are related to AI implementation, the company is focusing on improving operational efficiency through AI.
3. Dukaan: Bangalore-based ecommerce company Dukaan replaced 90% of their customer support staff with a chatbot developed in-house, leading to significant cost savings and reduced customer wait times.
4. Ikea: Last June, Ikea phased out call center work in favor of an AI bot named Billie to answer customer queries. The company is also providing training to affected employees to become interior design advisors, leading to the creation of new jobs.
5. BlueFocus: Chinese marketing agency BlueFocus terminated the contracts of human content writers and designers in favor of generative AI technology. The move came shortly after partnering with AI service providers, suggesting a shift towards automated labor.
6. Salesforce: US software company Salesforce has reduced its global workforce by firing 700 employees, with a focus on increasing investment in artificial intelligence. Many speculate that these job losses will be filled by automated labor in the future.
7. Duolingo: Language learning app Duolingo announced plans to offboard 10% of its contractor workforce as the company pivots to using AI for content translation. While no official layoffs were made, the decision to terminate contracts was partly attributed to AI technology.
Additionally, some companies are planning to replace workers with AI in the future:
1. IBM: Tech giant IBM intends to gradually replace 30% of its back-office roles with AI within the next five years, equating to around 7,800 positions. The company has already slowed hiring for certain clerical positions and is exploring the use of AI for more complex functions in the future.
2. BT: British telecommunications company BT plans to cut around 55,000 jobs by the end of the decade, with around 10,000 roles to be replaced by AI. Chief executive Philip Jansen believes AI will streamline customer service operations, although reassures customers that human interaction will still be a priority.
As companies continue to embrace AI technology for automation, the role of human workers in the workforce may evolve. It is essential for companies to consider the impact of these changes on their employees and ensure that the transition to AI is carried out in a responsible and ethical manner.
