Top headline: TUM Partners of Excellence, 12/5/2024
Headline: CIO, 5/14/2026
Grant Gross reports:
A huge majority of large enterprises have laid off employees after rolling out AI initiatives, but reducing headcount doesn’t lead to the ROI executives may expect. [emphasis added]
Eighty percent of large enterprises surveyed by Gartner have reported workforce reductions after launching automation projects, with the average reduction between 1% and 15%. The IT analyst firm, however, has found no correlation between layoffs and AI ROI.
Enterprises reporting significant ROI from automation initiatives have laid off workers at a similar pace as enterprises reporting modest ROI gains, or negative ROI, from automation initiatives, indicating that layoffs and returns aren’t connected, says Helen Poitevin, digital workplace analyst at Gartner.
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