AI is growing quickly, and many companies are trying to use it to reduce their workforce. IBM recently attempted something similar but got unexpected results.
After laying off more than 8,000 employees and shifting their work to AI automation, the company discovered that it still needed human workers; just in different areas.
According to IBM CEO Arvind Krishna, the company actually increased its overall headcount after the layoffs.
AI tools helped reduce repetitive or routine tasks, but this created new needs in other departments.
IBM had to hire more software engineers, marketing experts, and other specialists to support growing parts of the company.
One example is AskHR, an AI chatbot IBM uses for administrative work. It automated about 94% of HR-related tasks and helped save $3.5 billion in productivity.
While this reduced the need for certain roles, it also opened up opportunities in technical and creative positions.
This situation shows how AI can change the job market. Some roles may disappear, but new roles can also be created as companies shift their focus.
However, this also raises concerns about workers who lose their jobs. Many may need to retrain or move into new fields, which can be difficult.
Reports from global organizations highlight this issue. The World Economic Forum estimates that by 2030, 92 million jobs could be replaced by AI, though up to 170 million new ones may also be created.
Whether displaced workers can transition into these new roles remains a big question.
Other major companies have also made large layoffs recently—Microsoft, Amazon, and Accenture among them.
While AI helps companies save time and money, discussions around its impact on workers are becoming increasingly important.
