US layoffs reached their highest May level since 2020, with AI cited in 40% of cases. The trend raises questions about AI's true impact on the labour market.
Overall consumer demand is drying up as people are getting squeezed from small wage gains and huge inflation. Low demand for goods and incessant demand for “stakeholder value” means cuts have to come. If they’re not in quality, it’s in overhead (staff) - or both.
And now bosses have excuses for cuts to both back-office and production staff - “automation” and “AI” respectively.
Overall consumer demand is drying up as people are getting squeezed from small wage gains and huge inflation. Low demand for goods and incessant demand for “stakeholder value” means cuts have to come. If they’re not in quality, it’s in overhead (staff) - or both.
And now bosses have excuses for cuts to both back-office and production staff - “automation” and “AI” respectively.