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Moderna has merged its technology and human resources departments, highlighting the impact of artificial intelligence on workforce management. The company has appointed Tracey Franklin as the chief people and digital technology officer in a move to streamline operations.
Salesforce is increasing its reliance on artificial intelligence to automate workloads, with CEO Marc Benioff stating that AI currently handles 30% to 50% of the company's tasks. This shift towards AI has led to significant job cuts across the tech industry, as companies aim to enhance efficiency and reduce costs. Benioff describes this trend as a "digital labor revolution," noting that Salesforce has achieved approximately 93% accuracy with its AI technology.
Amazon is laying off approximately 14,000 corporate workers, about 4% of its workforce, as it reallocates resources to invest heavily in artificial intelligence amid pressure from investors to tighten finances. The layoffs follow disappointing growth in Amazon's AI business and come in the context of broader job cuts across the retail sector, including Starbucks and Target. CEO Andy Jassy has indicated that increasing efficiency through AI will likely reduce the overall corporate workforce in the coming years.
Klarna and Duolingo are facing backlash from their "AI-first" approaches, with Klarna reversing its strategy by hiring back employees to enhance customer service. Meanwhile, Duolingo is experiencing significant criticism on social media for its decision to limit human involvement in favor of AI, despite reassurances that AI will only assist its learning experts.
The article discusses how artificial intelligence is initiating a new revolution across various sectors, transforming industries and societal structures. It highlights the potential benefits and challenges posed by AI advancements, emphasizing the need for responsible implementation and ethical considerations. The text explores the implications of this technological shift on the workforce and economic landscape.
Many American companies are opting to maintain or even reduce their workforce, betting that artificial intelligence can handle increased sales and operational demands without additional hiring. Firms like JPMorgan Chase and RTX are leading the trend, citing a cautious approach to hiring in an uncertain economic climate.