IBM will limit the hiring of employees who can be replaced by AI

IBM has made the decision to temporarily stop recruiting for positions that could be replaced by AI-powered solutions in the coming years. About it informed CEO of Arvind Krishna Corporation.

In particular, the company has limited the hiring of back office workers, including the HR department. Non-client positions account for approximately 26,000 jobs. According to Krishna, within five years, IBM will replace 30% of them through the introduction of AI and automation, which will lead to the layoff of approximately 7.8 thousand employees.

Artificial intelligence tools have already demonstrated their capabilities in customer service automation, writing texts and generating code. Many observers are concerned that such decisions could lead to the destruction of the labor market. Krishna’s plan represents one of the largest HR strategies that new technology will help provide.

Krishna believes that the routine tasks of the HR department will be completely automated, including the provision of employment confirmation letters or the reallocation of employees between departments. He believes that HR functions such as workforce performance appraisals are likely to be replaced by AI within the next decade.

At the same time, the company continues to hire staff to develop software and work with clients. At the moment, the staff of IBM includes 260 thousand people.

The new productivity and efficiency measures should help the company save $2 billion by the end of 2024, chief financial officer James Cavanaugh said.