IBM Cuts 8,000 Jobs as AI Replaces Roles in HR Department
IBM has laid off around 8,000 employees, with the majority of cuts reportedly coming from the Human Resources (HR) department—marking one of the largest workforce reductions at the company in recent years. The reason behind the layoffs? Artificial intelligence.
Just days before the mass job cuts, IBM reportedly replaced 200 HR roles with AI agents. These AI-powered systems are capable of handling routine administrative tasks such as sorting information, answering employee questions, and processing paperwork—tasks that previously required human intervention. The company’s rapid push toward automation is now beginning to reshape its workforce.
Sources suggest that many of the 8,000 affected roles involve repetitive or process-driven tasks, particularly in back-office functions. These are the types of jobs that AI tools are increasingly capable of handling more efficiently and at a lower cost.
IBM CEO Arvind Krishna has previously hinted at such a shift. In a recent interview, Krishna said that AI and automation are being used to improve internal workflows and boost efficiency. Interestingly, he also claimed that the overall number of IBM employees has gone up, not down, as automation savings are being redirected toward hiring in growth areas like software development, marketing, and sales.
“While we have done a huge amount of work inside IBM on leveraging AI and automation on certain enterprise workflows, our total employment has actually gone up,” Krishna said. “It gives you more investment to put into other areas.”
IBM’s Chief Human Resources Officer, Nickle LaMoreaux, emphasized that AI isn’t necessarily replacing all jobs. “Very few roles will be completely replaced,” she said. Instead, AI is expected to take over repetitive parts of jobs, allowing employees to focus more on creative or strategic tasks that require human judgment.
The news comes as IBM aggressively markets its AI offerings to clients. At its annual Think conference earlier this month, the company unveiled a suite of new services aimed at helping businesses create and deploy their own AI agents. These tools are designed to work alongside major platforms like OpenAI, Amazon, and Microsoft.
IBM’s move is part of a larger trend among global companies increasingly turning to AI to streamline operations and reduce costs. Last month, Duolingo CEO Luis von Ahn confirmed the company is replacing human contractor roles with AI. “We’ll gradually stop using (human) contractors to do work that AI can handle,” he said.
Similarly, Shopify CEO Tobias Lütke made headlines in April when he issued a company-wide memo saying teams would now have to justify hiring human employees. “Before asking for more headcount and resources, teams must demonstrate why they cannot get what they want done using AI,” he wrote.
As more companies follow suit, experts warn that roles involving repetitive tasks are at the greatest risk. While AI promises to improve efficiency and productivity, its widespread adoption is also triggering a major shift in how companies structure and manage their workforces—raising urgent questions about the future of employment in an AI-driven world.
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