Google CEO Sundar Pichai doesn’t appear concerned about the prospect of AI-related job losses despite growing fears over a looming onslaught of workforce cuts.
Speaking in an interview with Bloomberg earlier this month, Pichai said growing AI adoption rates will be a net positive for the industry and enable the tech giant to grow its workforce, rather than result in redundancies.
“I expect we will grow from our current engineering phase even into next year, because it allows us to do more,” he said.
Pichai added that the technology will act as an “accelerator” at Google, enabling it to streamline efficiency and drive product development.
Notably, the Google chief exec highlighted a common recurring talking point on the benefits of the technology, mainly that it will help free up staff to spend time on creativity, reduce manual toil, and improve productivity.
Are AI job cut fears overblown?
During the early days of the generative AI ‘boom’, fears began rising over the prospect of widespread job losses, with research from Goldman Sachs predicting huge disruption to the global labor market.
While this onslaught of AI-fueled job losses hasn’t quite materialized, there have been signs that the technology is influencing hiring trends. A recent study found that AI is directly impacting entry-level graduate jobs, for example.
SignalFire’s 2025 State of Talent report showed a marked reduction in tech companies hiring recent college grads across 2024. The noted that a combination of rising “AI capabilities” and tightening purse strings was creating a challenging jobs market for graduates.
Elsewhere, a host of companies across the tech industry have announced layoffs, with AI directly influencing their decision to cut roles.
In 2023, BT announced plans to lay off up to 40% of its workforce by the end of the decade in a bid to become a “leaner business”. The cuts, described at the time as “brutal” came as a direct result of the firm’s plans to integrate AI across the organization.
Around the same time, IBM CEO Arvind Krishna revealed the company planned to automate large swathes of its human resources department, with thousands of roles expected to be affected by the move.
More recently, Amazon chief executive Andy Jassy warned staff that their jobs could be taken by AI in the coming years. In a memo sent to employees at the tech giant earlier this month, Jassy said the company’s efforts to integrate the technology will drive “efficiency gains” that will ultimately result in job losses.
"We will need fewer people doing some of the jobs that are being done today, and more people doing other types of jobs," Jassy told staff.
"It's hard to know exactly where this nets out over time, but in the next few years, we expect that this will reduce our total corporate workforce as we get efficiency gains from using AI extensively across the company."
While Pichai seems confident that AI-inspired job losses won’t be coming at Google any time soon, he did acknowledge the particular challenges faced by entry-level workers.
Anthropic CEO Dario Amodei recently warned that AI could seriously impact graduates in the near future, removing up to half of all jobs in this domain.
During the Bloomberg interview, Pichai hailed Amodei’s comments on this front, noting that “it’s important to voice these concerns and debate them”.
Workers don’t share the same optimism
Naturally, workers don’t share the same optimism as Pichai. Research from Microsoft and LinkedIn last year found that while many are enthusiastic about the potential productivity benefits of the technology, its encroachment on their daily activities is a cause for concern.
More than half (53%) of respondents revealed they’re worried about being replaced with AI entirely.
Similarly, a recent study from the UN’s International Labour Organisation (ILO) predicted that one-in-four jobs will be impacted by AI in the coming years, and concerns over job losses have become a pressing concern among female workers.
The ILO study found that generative AI is three-time more likely to impact the jobs of women in the workplace than men.
With this mind, concerns over AI-related job losses are warranted. Notable examples of AI replacement so far include Klarna, which has been highly vocal about its success in replacing customer service workers with the technology.
Last year, the buy-now-pay-later firm revealed its AI was doing the work of around 700 people.
The success of this overhaul even prompted the company to stop hiring for new roles - although CEO Sebastian Siemiatkowski recently shed light on the company’s new vision for customer service, which involves a fusion of AI and ‘VIP’ options led by human workers.
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