6 companies that have signaled they are replacing human employees with AI

"Worries about AI one day replacing human workers have intensified in recent years - and as it turns out, that future has already arrived. MIT just released a study that found that AI can already replace 11.7% of the US labor market. The study utilized a labor simulation tool called the Iceberg Index, which models 151 million US workers and measures how AI overlaps with skills in each occupation."

"As AI starts to replace human workers, companies have been increasingly open about the role AI adoption is playing in recent layoffs. However, while some companies have directly cited AI as a reason for workforce reductions, others have vacillated with their messaging, leaving ambiguity around the exact reasoning and whether AI is directly replacing workers. Even as some companies replace human workers with AI, they might end up hiring more people in other roles because of it."

A number of major companies, including HP, IBM, and Amazon, have linked workforce reductions to AI adoption, with HP planning cuts up to 6,000 jobs by 2028 citing AI-driven productivity. A MIT study using the Iceberg Index estimates AI can replace 11.7% of the US labor market by modeling 151 million workers and skill overlap. Companies vary in messaging about AI's role in layoffs, causing ambiguity over direct replacement. Global surveys predict 41% of companies may reduce workforces over five years due to AI, while demand for tech roles in big data, fintech, and AI is expected to double by 2030.

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