Career Surfing Against Lay-off Waves
In 2023, Microsoft has cut 10.000 jobs, 5% of its workforce, and in 2025 they will cut over 6.000 more. If Microsoft continues to invest at current levels, it is thought that it will need to reduce its workforce by at least another 10.000 people every year to offset the increasing depreciation levels due to capital expenditures.
Since AI has become a hot topic, the most common question is whether it will take away our jobs. According to Goldman Sachs, AI could automate a workforce equivalent to 300 million full-time jobs. That's 9.1% of all jobs in the world. So far in 2025, the number of lay-offs in the tech sector alone has exceeded 61.000 people .
As faster and cheaper alternatives come to the fore in business models, many companies are restructuring and caring more about profitability than the human factor.
Mission Impossible
Apart from automation in production, customer service has become automated with AI-powered bots and voice systems. It is predicted that 25% of jobs in this sector will be carried out by AI in 2027.
AI is highly effective in tasks such as duplicate data jobs. Jobs such as reviewing legal documents and analyzing contracts are undertaken by AI-based legal technologies. In insurance, AI has started to be used in damage assessment and document analysis. AI is used at every scale in SEO content and media publishing. Advances in visual work are rapidly transforming movie, voice-over and game production.
AI accounting software comes into play in areas such as invoicing and budgeting. In retail, cash register and product ordering systems are already automated. The banking sector has been analyzing its customers with AI software for a long time and performing credit scoring automatically. Thus, while risk analysis processes become more consistent and faster, the necessity of some positions is eliminated.
Is AI the only reason for lay-offs?
The available data does not tell us how much of the lay-offs are due to AI. Globally, companies have been affected by many political and economic developments since the pandemic. They are laying off not only due to AI, but also due to the need to restructure their business models with a focus on profitability.
Intel, which entered the AI technologies market late and lost the biggest share of the cake to Nvidia, is rumored to lay off another 20% of its workforce this year, after parting ways with 15.000 people in 2024. Companies that are not on the side of AI are also experiencing lay-offs for this reason.
A Guide to Avoiding Lay-offs
There are still things that can be done to prevent AI from taking our jobs.
Develop secondary skills, try to become "indispensable" by deepening in your profession while gaining knowledge in other areas: A payroll specialist can contribute to internal communications and employer branding. A social media manager can not only post but also analyze engagement drops and make recommendations.
Make time for your network development: New networks, both internally with other departments and externally, can accelerate the start of a new career during a lay-off.
Take time to follow technology and learn proactively: Beyond doing your job well, adapting developments to your job can make a difference. Instead of waiting for AI to take your job, you can learn to make it your assistant.
Stay tuned for more advice and updates.