The AI&Work Chronicle

AI "Brain Fry" exhausts the workers you need most: "You just work the same amount or more".; 80% of AI layoffs returned nothing; South Korea's 30-and-under professional services workforce disappearing

7 min · 13 de may de 2026
Portada del episodio AI "Brain Fry" exhausts the workers you need most: "You just work the same amount or more".; 80% of AI layoffs returned nothing; South Korea's 30-and-under professional services workforce disappearing

Descripción

UC Berkeley [https://fortune.com/2026/02/10/ai-future-of-work-white-collar-employees-technology-productivity-burnout-research-uc-berkeley/] found that employees who embraced AI tools most enthusiastically did not work less. They worked more. The research team tracked workers at a 200-person technology firm over eight months, and published their findings in The Harvard Business Review. The AI tools made more work feel doable. So, workers did more. They expanded their to-do lists to fill every hour AI freed up, and then kept going. Lunch breaks disappeared. Evenings shortened. One engineer told researchers: “You had thought that maybe, because you could be more productive with AI, you could save some time and work less. “You just work the same amount or more.” An ActivTrak analysis of 10,584 workers [https://fortune.com/2026/03/13/ai-isnt-reducing-workloads-its-straining-employees-time-spent-emailing-doubled-deep-focus-work-fell/] measured what actually happened to time allocation after AI adoption. Time spent across every job responsibility rose between 27% and 346%. Focused work sessions fell 9%. Time spent on email doubled. Researchers at Boston Consulting Group named the resulting condition “AI Brain Fry.” Companies are seeing a pattern of cognitive overload in workers who must supervise multiple AI systems simultaneously. About one in seven workers surveyed reported mental fatigue from juggling AI tools [https://fortune.com/2026/03/10/ai-brain-fry-workplace-productivity-bcg-study/]. The workers most affected are the early adopters, the employees companies most want to retain. The UC Berkeley researchers identified that AI expands a worker’s sphere of accountability. It allows one person to take on tasks that previously required three. Organizations register the output gain and quietly raise their expectations for what a single employee can produce. BUY NOW! [https://wimdodson.gumroad.com/l/gods_in_the_machine?_gl=1*19da5a0*_ga*MTEwMjE2MDkwMy4xNzc2OTY4MDQy*_ga_6LJN6D94N6*czE3NzY5NjgwNDEkbzEkZzEkdDE3NzY5NjgxNzIkajU5JGwwJGgw] Get the NEW Book that exposes the Narratives Tech uses to build its AI Empire. $4.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required.3.5-hr reading time. The worker does not receive a reduced workload. The worker receives a larger one, denominated in fewer hours, with no additional compensation and no reduction in the performance bar. That is a productivity gain for the company and a sustained increase in cognitive load for the individual. It tends to produce, over time, the conditions that precede burnout. Nevertheless, companies are making workforce decisions based on the assumption that AI-enabled employees will be more productive and that fewer employees will therefore be needed. A Gartner survey of 350 global business executives [https://www.gartner.com/en/newsroom/press-releases/2026-05-05-gartner-says-autonomous-business-and-artificial-intelligence-layoffs-may-create-budget-room-but-do-not-deliver-returns], though, found that 80% of those companies reported workforce reductions after adopting AI or autonomous technology. All at companies with annual revenues of at least $1 billion. Workforce reduction rates were nearly identical among companies that reported high ROI from AI and companies that reported marginal gains or negative outcomes from AI-use. Cutting workers and keeping AI returns did not correlate. Companies that showed the strongest AI returns were those that used the technology to amplify their existing workforce rather than shrink it. Gartner’s lead analyst, Helen Poitevin, stated the conclusion directly: “Workforce reductions may create budget room, but they do not create return.” [https://fortune.com/2026/05/11/ai-automation-layoffs-gartner-study-roi/] Organizations that improved ROI were those that invested aggressively in skills, roles, and operating models that allow workers to guide and scale AI systems — that is, they invested in organizational change management. The companies cutting their way to AI returns are, by Gartner’s data, pursuing a strategy with a poor track record. The Wall Street Journal framed the same tension [https://www.wsj.com/articles/ai-is-forcing-ceos-to-make-a-stark-choice-lay-off-workers-or-make-them-do-more] as a stark CEO choice: lay off workers or make them do more. Most companies have chosen the former. The Gartner data suggests that choice is producing short-term budget relief and limited long-term value. The companies choosing to make workers do more are generating the returns. Those companies are pursuing a so-called “Human Amplification” model. BUY NOW [https://wimdodson.gumroad.com/l/invasion_ai?_gl=1*g1iey2*_ga*OTc1NjU2NTcyLjE3NzQwMzA3NjM.*_ga_6LJN6D94N6*czE3NzQwMzMyMjUkbzIkZzEkdDE3NzQwMzQ2ODgkajYwJGwwJGgw]! Get the book that examines how the AI invasion already happened. You just weren’t invited. $9.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required. 2-hr reading time. The companies choosing layoffs are generating headlines. The human cost of the amplification model is visible in the burnout data above. The human cost of the layoff model is visible in labor market data emerging from South Korea. The consequences of AI-driven displacement are measurable in South Korean business in a way that U.S. aggregate statistics have so far obscured. A Bank of Korea analysis finds that 98.6% of the 211,000 jobs lost by workers aged 15 to 29 over the past three years were concentrated in sectors with high AI exposure [https://www.koreatimes.co.kr/economy/others/20260219/young-professionals-squeezed-as-ai-reshapes-white-collar-job-market]. Employment in professional services like law, accounting, management consulting, fell 8.8% over the same period. Of the 1,200 people who passed South Korea’s CPA exam last year, only 338 had secured jobs as of October. That is a passage rate for a demanding professional qualification translating into a 28% employment rate for newly credentialed accountants. The shortfall is attributed partly to the rapid adoption of AI tools by accounting firms that now require fewer junior staff to process the same volume of work. South Korea’s data is a leading indicator, not an outlier. The AI Labor Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. The country has one of the highest robotics densities in the world and an early-adopting professional services sector. What is visible there in employment statistics is likely forming in U.S. and European labor markets in ways that headline unemployment rates do not yet capture. The Gartner finding and the Korean data point in the same direction: AI layoffs are producing budget room. However, they are not producing returns. The workers left behind through layoffs, and those retained, are bearing human costs that company balance sheets do not record. Most Popular Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

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49 episodios

Portada del episodio Robinhood cuts 10% but won't say "AI"; half your day is now spent babysitting AI; put AI on the org chart and people stop checking its work; Colorado's AI law kicks off in 7 days and nobody's ready

Robinhood cuts 10% but won't say "AI"; half your day is now spent babysitting AI; put AI on the org chart and people stop checking its work; Colorado's AI law kicks off in 7 days and nobody's ready

Robinhood had a strange week. On June 16, the company announced it would cut about 290 workers [https://finance.yahoo.com/markets/stocks/articles/robinhood-layoffs-2026-company-cuts-144314489.html], roughly 10% of its full-time staff. The odd part is that the company is doing well. CEO Vlad Tenev told employees in a memo that “Robinhood’s business has never been stronger [https://crypto.news/robinhood-announces-layoffs-affecting-290-employees-amid-restructuring-push/].” The company reported record trading volumes in June. He framed the cuts as a way to flatten the organization and raise what he called “talent density.” Here is a detail worth noticing, though: Tenev never mentioned AI [https://techcrunch.com/2026/06/16/robinhoods-note-on-10-layoffs-shows-blaming-ai-isnt-cutting-it/] anywhere in the memo, Tech Crunch noted. He did say the company would use “frontier technologies” to push its execution further. That sounds a lot like AI without saying so. For most of this year, companies rushed to credit AI for their layoffs because investors liked the efficiency story. Now the sentiment has shifted. Blaming AI for job cuts has started to generate worker backlash. Cleverly, Robinhood appears to have read the room. Listen on Apple Podcasts [https://podcasts.apple.com/us/podcast/the-ai-labor-report/id1896663061] A Carmaker Launches a Product, Then Cuts the People Who Support It Rivian followed a similar path with different wording. On June 16, CNBC reported the electric vehicle maker laid off hundreds of workers in its service and customer organization [https://www.cnbc.com/2026/06/16/rivian-layoffs.html]. The sales and marketing teams were hardest hit. Notice the timing: the cuts came one week after Rivian began delivering its new R2 SUV, the lower-priced vehicle meant to take the company mainstream. Rivian described the move as restructuring to “profitably scale our business.” An analyst at Edmunds said out loud what a lot of people were thinking. “You have to wonder to what degree they do plan on replacing those people with some level of AI and automation,” [https://www.spokesman.com/stories/2026/jun/17/rivian-lays-off-hundreds-of-workers-days-after-new/] he told reporters. Rivian is pouring money into autonomous vehicle technology, including a robotaxi partnership with Uber. A company launching a product while cutting the human workforce built to support that product is a pattern service workers recognize immediately. Most of Us Now Spend More Time Managing AI Than Doing Our Jobs If you have felt lately like your job has quietly turned into babysitting AI, the data backs you up. BCG’s fourth annual AI at Work survey [https://www.prnewswire.com/news-releases/ai-is-reshaping-jobs-faster-than-companies-are-reshaping-work-302789481.html] found that 47% of workers now spend more time managing and directing AI than doing their actual work. The June 3rd survey covered 11,749 workers across 14 markets. Frontline AI adoption hit 74%, up 23 points from last year. Among regular users, 42% report saving a full workday every week through AI. The catch is that almost no organization has figured out what workers should do with that reclaimed time. The report describes a “joy paradox” [https://enterprisedna.co/resources/news/bcg-ai-at-work-survey-strategy-gap-workers-2026/]: 67% of regular AI users say the technology has improved their job satisfaction. Forty-one percent report increased mental strain at the same time. AI is making work both better and worse, often for the same person on the same day. BUY NOW! [https://wimdodson.gumroad.com/l/gods_in_the_machine?_gl=1*19da5a0*_ga*MTEwMjE2MDkwMy4xNzc2OTY4MDQy*_ga_6LJN6D94N6*czE3NzY5NjgwNDEkbzEkZzEkdDE3NzY5NjgxNzIkajU5JGwwJGgw] Get the NEW Book that exposes the Narratives Tech uses to build its AI Empire. $4.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required.3.5-hr reading time. Putting AI on the Org Chart Makes Humans Sloppier Researchers at Boston Consulting Group ran a controlled study of 1,261 managers [https://www.bcg.com/news/6may2026-why-you-shouldnt-treat-ai-agents-employees] across the U.S., Canada, and the EU. They gave participants the same document full of errors, then told different groups it had been produced by a human, by an AI tool, or by a named-AI “employee.” The group that thought a named-AI employee wrote it caught 18% fewer errors. Individual accountability for the mistakes dropped by 9 percentage points. Accountability assigned to the AI rose by 8 points. In other words, the moment a company treats an AI agent like a coworker, people stop checking its work and start blaming it when something goes wrong. Oddly, more than 20% of surveyed companies have already put AI agents on their official org charts. The errors do not disappear, though. They just slip past the humans who used to catch them. BUY NOW [https://wimdodson.gumroad.com/l/invasion_ai?_gl=1*g1iey2*_ga*OTc1NjU2NTcyLjE3NzQwMzA3NjM.*_ga_6LJN6D94N6*czE3NzQwMzMyMjUkbzIkZzEkdDE3NzQwMzQ2ODgkajYwJGwwJGgw]! Get the book that examines how the AI invasion already happened. You just weren’t invited. $9.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required. 2-hr reading time. What Workers at Big AI Companies Are Actually Seeing Gallup surveyed 23,717 U.S. employees [https://www.gallup.com/workplace/704225/rising-adoption-spurs-workforce-changes.aspx] and found a clear split. At organizations adopting AI, 27% of workers say their workplace changed in disruptive ways over the past year. At organizations that have not adopted AI, only 17% say the same. The sharpest finding involves the largest employers. At companies of 10,000 or more that use AI, 33% of workers report their workforce shrinking versus 30% reporting growth. At large companies that have NOT adopted AI, the numbers flip: 36% report hiring more workers versus 23% reporting cuts. Half of Companies Have No Working AI Policy for HR Meanwhile, SHRM’s State of AI in HR 2026 report [https://www.shrm.org/topics-tools/research/state-of-ai-hr-2026/full-report] found that 54% of organizations either have no AI policy for HR or describe the one they have as too rigid to be useful. Only 46% plan to use AI in HR at all this year. Of the companies that do have a policy, just 25% call it clear and built to last. The AI & Work Chronicle is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. The Laws Are Coming, and Most Employers Are Not Ready That gap matters more every week, because the regulations are arriving. States are building a patchwork of AI hiring laws [https://darroweverett.com/ai-hiring-workforce-management-2026-legal-analysis-updates/] covering bias audits, impact assessments, and worker notice requirements. Colorado’s AI Act takes effect June 30. California’s SB 951, requiring 90 days notice before AI-driven layoffs affecting 25 or more workers, is still pending. No federal law requires any employer to disclose whether AI drove a job cut. Companies are deploying AI faster than they are writing the rules to govern it, and faster still than the government is writing the rules to govern them. Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

19 de jun de 20266 min
Portada del episodio Klarna rehires the staff it fired, as gig workers; skip AI and triple your layoff odds; Wix cuts 1,000 to fund AI; bosses call AI replacement "redesign"; Paytm hires 4,000 who speak AI

Klarna rehires the staff it fired, as gig workers; skip AI and triple your layoff odds; Wix cuts 1,000 to fund AI; bosses call AI replacement "redesign"; Paytm hires 4,000 who speak AI

Steady jobs are quietly turning into gig work Let me start with the story that should worry the most people. The Guardian looked at how AI is reshaping work, and the pattern is sometimes subtler than a clean layoff. The job survives, but it gets chopped into gig work. The example is Klarna. The company cut hundreds of customer service jobs in 2024 for an AI chatbot, then brought humans back a year later. The catch is how. It rehired them as contractors in what its CEO calls an “Uber type of set-up” [https://www.theguardian.com/technology/2026/jun/18/ai-threatens-gig-work-rise], where the bot handles the easy questions and gig workers take the hard ones. Researchers in the piece argue that companies often keep the work but dismantle the full-time role around it, mostly to save money. Listen on Apple Podcasts [https://podcasts.apple.com/us/podcast/the-ai-labor-report/id1896663061] The benefits go first, and desk workers like customer service agents, copywriters, and analysts feel it soonest. The Guardian article illustrates the scale of the issue in numbers: A recent survey [https://www.upwork.com/resources/freelancing-stats] from Upwork found that about 60 million Americans, or 39% of the workforce, already perform freelance or gig work either full-or part-time. That number is expected to jump to 86 million – about half of the workforce – by 2027, according to Statista [https://www.statista.com/statistics/921593/gig-economy-number-of-freelancers-us/#:~:text=This%20statistic%20shows%20the%20number,of%20the%20total%20U.S.%20workforce.], a global data intelligence platform. The largest and fastest-growing segment is not rideshare drivers or delivery couriers, but knowledge workers: customer service agents, copywriters, financial analysts, paralegals, writers and coders. Once workers are classified as contractors, rather than employees, “you have the rolling back of generations of hard-won workplace protections,” says Alexandrea Ravenelle, a sociologist at the University of North Carolina at Chapel Hill and author of Hustle and Gig: Struggling and Surviving in the Sharing Economy. “Literally stuff that our great-grandparents died for, all of those protections are gone.” I write about this trend in my Future Forwarded Substack [https://futureforwarded.substack.com/] series of articles: “The Jenga Job: How AI Will Dismantle Work One Task at a Time [https://futureforwarded.substack.com/p/the-jenga-job-how-ai-will-dismantle],” “I Know Why the Caged Contractor Sings: How Contractor Job Loss Is the First Warning of an AI Labor Crisis [https://futureforwarded.substack.com/p/i-know-why-the-caged-contractor-sings],” and “The AI Tipping Point: How Mass Contractor Income Loss Ushers Recession [https://futureforwarded.substack.com/p/the-ai-tipping-point-how-mass-contractor].” Skipping AI now carries a real cost Here is a number that lands close to home. New Gallup research finds that tech workers who use AI at least monthly face about a 6% chance of being laid off, while those who use it less face about 18%. That is triple the risk [https://www.bostonglobe.com/2026/06/18/business/tech-workers-who-dont-embrace-ai-face-triple-the-layoff-risk-gallup-finds/]. The estimate comes from a February survey of more than 23,000 U.S. workers, and the gap held even after accounting for age, education, and industry. The same pattern shows up outside tech, though smaller. One detail stands out. Only about 1% of laid-off workers blamed AI directly, so the shift is happening quietly. Using these tools regularly is starting to look like job insurance. Wix trims about a fifth of its staff Now a quick one that fits the trend. The web-platform company Wix plans to cut roughly 1,000 jobs, about 20% of its workforce [https://intellizence.com/insights/layoff-downsizing/major-companies-that-announced-mass-layoffs/], after a weak quarter and rising AI costs. The company points to efficiency. The workers see the bill landing on them. BUY NOW! [https://wimdodson.gumroad.com/l/gods_in_the_machine?_gl=1*19da5a0*_ga*MTEwMjE2MDkwMy4xNzc2OTY4MDQy*_ga_6LJN6D94N6*czE3NzY5NjgwNDEkbzEkZzEkdDE3NzY5NjgxNzIkajU5JGwwJGgw] Get the NEW Book that exposes the Narratives Tech uses to build its AI Empire. $4.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required.3.5-hr reading time. Paytm cuts 400 jobs and opens 4,000 more Over in India, two things are happening at once. The fintech company Paytm is cutting about 400 roles while opening around 4,000 new ones [https://intellizence.com/insights/layoff-downsizing/major-companies-that-announced-mass-layoffs/] tied to AI and merchant growth. So the work here is shifting rather than vanishing. The roles are being swapped for AI-fluent ones. If you can work alongside the tools, the door stays open. India’s offices race to write AI rules Here is the quieter side of all this. Across India, companies are scrambling to write rules for how workers use AI. The worry is that an employee might paste customer data or a contract into a public chatbot. Under India’s data-protection law, that can carry steep penalties [https://legistify.com/blogs/ai-use-policy-employees/]. So inside many offices there is now a second worry beyond layoffs. It is how employees are allowed to use AI without creating a legal problem for the company. BUY NOW [https://wimdodson.gumroad.com/l/invasion_ai?_gl=1*g1iey2*_ga*OTc1NjU2NTcyLjE3NzQwMzA3NjM.*_ga_6LJN6D94N6*czE3NzQwMzMyMjUkbzIkZzEkdDE3NzQwMzQ2ODgkajYwJGwwJGgw]! Get the book that examines how the AI invasion already happened. You just weren’t invited. $9.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required. 2-hr reading time. A more sanguine view from the top I will end with the other side of the table. The World Economic Forum gathered six business leaders to talk through AI and talent [https://www.weforum.org/stories/2026/01/how-ai-will-affect-work-in-different-industries/]. Their message leans toward redesign rather than cuts, with skills aging fast and roles shifting instead of disappearing. Take it for what it is, the view from the executive chair. Put it all together and the through-line holds. AI is reshaping who keeps steady work, and the people who learn the tools are landing on the safer side of the line. The AI/Labor Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

19 de jun de 20265 min
Portada del episodio Meta spies on staff as morale craters; Walmart swears 2M jobs safe while thinning office; Microsoft warns AI to hollow communities, then ships Copilot; Nvidia boss poo-poos AI job replacement fears

Meta spies on staff as morale craters; Walmart swears 2M jobs safe while thinning office; Microsoft warns AI to hollow communities, then ships Copilot; Nvidia boss poo-poos AI job replacement fears

Meta’s AI team is close to a revolt Let me start with the one everybody is talking about. Meta moved several thousand workers into a new Applied AI unit, and a lot of them are unhappy. Many describe repetitive data-labeling and forced reassignments [https://anz.peoplemattersglobal.com/news/ai-and-emerging-tech/whats-happening-inside-metas-ai-division-employees-say-morale-is-at-rock-bottom-50287], and a large group signed a petition against software that tracks their keystrokes and mouse movements. The company’s own technology chief, Andrew Bosworth, did something rare. He admitted the rollout went badly. He told staff that morale is near its worst in 20 years and that leadership did an “atrocious” job [https://www.ibtimes.co.uk/meta-low-morale-ai-restructuring-job-cuts-1803228]. He also noted that median pay slipped from about $417,400 to $388,200. His advice to nervous employees was blunt, if not a bit banal. AI won’t take your job, but someone who knows AI might. Walmart tells its workers not to worry Now to the company that touches the most lives. Walmart employs around 2 million people, and it is telling them their jobs are safe. The reassurance comes with fine print. The company is trimming corporate and middle-management roles, and its leadership has talked about centralizing its platforms as AI reshapes retail [https://www.sec.gov/Archives/edgar/data/0000104169/000010416926000023/pressrelease-11626.htm]. At the same time, Walmart keeps hiring cashiers, stockers, and warehouse staff. Stores still need people on the floor every day [https://www.thehrdigest.com/walmart-layoffs-continue-to-grow-the-corporate-vs-frontline-divide/]. So the message to frontline workers is steady employment, while the message to the office is leaner teams. Microsoft’s CEO compares AI to outsourcing Satya Nadella, who runs Microsoft, warned that AI could “hollow out” whole industries the same way outsourcing once gutted manufacturing. He argued that if the value piles up in a few giant models, the politics will not hold [https://www.thestreet.com/technology/microsoft-ceo-sends-a-blunt-warning-on-ai-and-the-tech-ecosystem]. He pointed back to the first wave of globalization, when the GDP numbers looked fine while the damage to workers and towns ran deep. Meanwhile, Microsoft puts its Copilot assistant inside Word, Outlook, Excel, and Teams. Those are the tools millions of people open every morning. The man warning about the potential harms of AI is also the one pushing the product. State Farm agents feel betrayed State Farm licensed an AI product for all of its agent offices and raised the limit on how many offices one agent can run, from three to six. It also ended a deferred-compensation program that agents were counting on for retirement. Agents are furious, calling it a “false promise” [https://www.nprillinois.org/illinois/2026-06-02/boiling-mad-and-fearing-an-uncertain-future-state-farm-agents-react-to-contract-changes]. One mid-career agent figures the change will cost him about $1 million over ten years. The company says its agents stay central to how it serves customers. The agents hear something different. They hear a lifetime contract getting quietly rewritten. Uber cut its HR team while overspending on AI Here is a smaller story with an outsized point. Uber eliminated about 23% of its People and Places division. The group handles human resources and workplace culture. The timing raised eyebrows. The cut came days after the company admitted it burned through its entire 2026 AI coding budget in just four months [https://www.techtimes.com/articles/317842/20260605/uber-cuts-23-hr-staff-new-president-denies-ai-role-95-engineers-use-it-daily.htm]. Uber says the two are unrelated and that the reorganization was about simplifying overlapping teams. Maybe so. Still, a company that spent its AI money fast and then cut the people who look after its people is going to invite questions. One loud voice says relax Amidst the realities of companies replacing staff because of AI-related decisions, Jensen Huang, who runs Nvidia, thinks the panic is overblown. Speaking on Bloomberg on June 1, he called the idea that AI is destroying jobs “complete nonsense” [https://247wallst.com/investing/2026/06/03/nvidia-ceo-jensen-huang-ai-job-losses-are-complete-nonsense-ai-driving-hiring-surge-instead/]. His argument is that AI makes each engineer more productive, so companies want more of them, not fewer. He is probably right that new jobs come eventually. The catch is timing. Early data shows employment for the youngest software developers falling while their older colleagues hold on. New jobs may arrive. The real question for workers is whether they arrive before the rent is due. Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

17 de jun de 20264 min
Portada del episodio The layoffs don't pay off, but they keep coming; India's call centers hire 17 in nine months; Anthropic funds research into smoothing its own labor disruption; "AI-first world" is code for a layoff

The layoffs don't pay off, but they keep coming; India's call centers hire 17 in nine months; Anthropic funds research into smoothing its own labor disruption; "AI-first world" is code for a layoff

Start with a question that workers ask and executives avoid. If a company replaces people with AI, does the company actually make more money? A new analysis this week says the answer is often no. Gartner studied 350 firms and found that the companies cutting the most jobs showed no improvement in their financial returns [https://www.techtimes.com/articles/318466/20260616/tech-layoffs-hit-1115-day-2026-companies-cite-ai-cuts-fail-boost-returns.htm]. The cuts looked decisive. The payoff did not arrive. Listen on Apple Podcasts [https://podcasts.apple.com/us/podcast/the-ai-labor-report/id1896663061] Nevertheless, the cutting keeps going. Tech layoffs are running at about 1,115 a day in 2026, and more than half of those events name AI as a reason. The damage falls hardest on the youngest workers. The junior share of tech hiring has dropped from about 15% of jobs to 7% since 2023. Recent computer science graduates now face an unemployment rate near 6.1%. The first rung of the career ladder is the rung companies are sawing off. So who catches these workers when they fall? One of the companies building the tools just put money toward answering that question. Anthropic announced a $200 million Economic Futures Research Fund [https://www.anthropic.com/economic-futures/program] on June 10, paired with a $150 million fellowship program for early-career workers. The combined pledge reaches $350 million. Its CEO, Dario Amodei, went further in a personal essay. He argued that government should promise economic support to people displaced by AI. He floated universal basic income funded by taxes on AI companies or higher capital-gains rates [https://www.usnews.com/news/business/articles/2026-06-10/anthropic-pledges-200-million-to-research-ais-economic-impact-as-ceo-suggests-job-loss-solutions]. However, the clearest picture of the disruption comes from India. The country’s business-process-outsourcing (BPO) industry, the call centers and back offices that the world hires to handle routine work, added only 17 net employees in the first nine months of fiscal 2026 [https://cornfordandcross.com/market-insights/customer-service-bpo-the-operational-scale-displacement/]. Not 17,000. Seventeen. For an industry that once absorbed hundreds of thousands of young graduates a year, that number marks a near-total stop. The entry door into India’s service economy is closing, and AI is holding it shut. BUY NOW! [https://wimdodson.gumroad.com/l/gods_in_the_machine?_gl=1*19da5a0*_ga*MTEwMjE2MDkwMy4xNzc2OTY4MDQy*_ga_6LJN6D94N6*czE3NzY5NjgwNDEkbzEkZzEkdDE3NzY5NjgxNzIkajU5JGwwJGgw] Get the NEW Book that exposes the Narratives Tech uses to build its AI Empire. $4.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required.3.5-hr reading time. Now the countervailing evidence, because this story runs in more than one direction. A survey of more than 350 public-company CEOs found that 67% expect AI to increase their entry-level hiring this year [https://www.aol.com/news/ai-triggering-quiet-hiring-comeback-051521811.html], and 58% plan to add senior leaders too. These executives describe AI as reshaping work rather than erasing it. Treat this as a feeling, not a result. The survey was taken late last year, and intentions and outcomes often part ways. Still, it signals that some leaders plan to hire more. BUY NOW [https://wimdodson.gumroad.com/l/invasion_ai?_gl=1*g1iey2*_ga*OTc1NjU2NTcyLjE3NzQwMzA3NjM.*_ga_6LJN6D94N6*czE3NzQwMzMyMjUkbzIkZzEkdDE3NzQwMzQ2ODgkajYwJGwwJGgw]! Get the book that examines how the AI invasion already happened. You just weren’t invited. $9.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required. 2-hr reading time. The cuts that did land this week fit the familiar pattern. The crypto-data firm Dune eliminated a quarter of its staff on June 15 [https://intellizence.com/insights/layoff-downsizing/major-companies-that-announced-mass-layoffs/]. The marketing company Gambling.com is cutting a quarter of its workforce, and its incoming chief executive framed the move as building for an “AI-first world.” The phrase has become the standard caption for a layoff. So, the job cuts often fail to pay off, yet they continue. The young get hit first. One AI maker is funding the search for answers while asking the public to help foot the bill. The honest reading is that nobody, not the CEOs cutting jobs and not the ones promising to hire, knows yet where this AI makeover is heading. The AI/Labor Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

17 de jun de 20264 min
Portada del episodio Wanting a human no longer protects customer service jobs; AI pays directors 62% more; India sheds 3,400 engineers off the books, senior roles down two in three; 1,115 fired daily, the AI-fluent stay

Wanting a human no longer protects customer service jobs; AI pays directors 62% more; India sheds 3,400 engineers off the books, senior roles down two in three; 1,115 fired daily, the AI-fluent stay

PwC released its 2026 Global AI Jobs Barometer [https://www.pwc.com/gx/en/news-room/press-releases/2026/pwc-2026-ai-jobs-barometer.html] this morning, after studying more than one billion job ads across 27 countries. The finding is that the labor market is splitting into two tracks. One track holds what PwC calls “professionalised” roles, where AI handles the routine work and people get paid for judgment, creativity, and leadership. The other holds “democratised” roles, where AI makes the job simple enough that almost anyone can step in. The first track is growing faster in both hiring and pay. The second is falling behind. PwC found that the wage premium for AI skills climbed to 62%, up from 57% a year ago. In consumer-facing industries it now tops 100%. Stated plainly, a worker who can direct AI earns far more than a worker who competes against it. (A “wage premium” is the extra pay one group earns over another for the same kind of work.) Listen on Apple Podcasts [https://podcasts.apple.com/us/podcast/the-ai-labor-report/id1896663061] Companies that use AI well are hiring more people, not fewer. But the same report shows entry-level jobs dividing along the same line. AI-exposed entry roles now demand skills that used to belong to senior staff. Those roles grew 35% since 2019. Ordinary entry-level roles fell 10%. Newly-minted college grads are experiencing the reduction in entry-level jobs the hard way. Meanwhile, SHRM published its 2026 job-displacement report [https://www.shrm.org/mena/topics-tools/research/automation-generative-ai-and-job-displacement-risk-in-u-s--employment/2026-full-report] on June 12, and its surprising finding is that the share of American jobs at high risk of automation dropped from 6% to 5.1%. That is roughly 7.9 million jobs that look safer than they did a year ago. Task automation rose over the same stretch, yet the displacement risk fell. SHRM found that the “client preferences” barrier is weakening. That barrier is the simple fact that many customers want a human, not a machine. For years the preference protected call-center staff, receptionists, and support agents. The report points to Klarna, the company that replaced about 700 service workers with AI, then rehired humans after customers complained. SHRM’s data suggests customer tolerance for AI is now rising fast. PwC says AI rewards the workers who command it. SHRM says the customer resistance that once protected everyone else is thinning. Both point the same way. Protection is moving away from the job and toward the skill the worker brings to it. We see a similar trend in India. Active tech job openings there fell to a 28-month low of about 93,000 in early June, down from 119,000 in March [https://news.outsourceaccelerator.com/india-it-hiring-falls/]. Senior-level openings dropped 67% from a year earlier. BUY NOW! [https://wimdodson.gumroad.com/l/gods_in_the_machine?_gl=1*19da5a0*_ga*MTEwMjE2MDkwMy4xNzc2OTY4MDQy*_ga_6LJN6D94N6*czE3NzY5NjgwNDEkbzEkZzEkdDE3NzY5NjgxNzIkajU5JGwwJGgw] Get the NEW Book that exposes the Narratives Tech uses to build its AI Empire. $4.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required.3.5-hr reading time. Analysts now describe Indian tech hiring as “hyper-elastic,” meaning firms expand and shrink their workforces faster and harder than before. A worker who once counted on steady demand now faces a market that swings with every quarter. Indian tech powerhouses TCS, Infosys, Wipro, HCLTech, and Tech Mahindra released an estimated 3,400 mid-tier engineers [https://www.ownyourcareer.in/blog/tech-layoffs-june-2026-india-impact-companies-still-hiring] in May and June, through performance-improvement exits and bench reductions. None of it showed up in formal layoff filings. Salesforce sent cuts into its India delivery teams under its “AI-first” reorganization. Intel ran a second round through its Bengaluru and Hyderabad offices. The shape matters more than the size. Mid-level engineers on non-AI teams are leaving. AI-fluent engineers are staying. BUY NOW [https://wimdodson.gumroad.com/l/invasion_ai?_gl=1*g1iey2*_ga*OTc1NjU2NTcyLjE3NzQwMzA3NjM.*_ga_6LJN6D94N6*czE3NzQwMzMyMjUkbzIkZzEkdDE3NzQwMzQ2ODgkajYwJGwwJGgw]! Get the book that examines how the AI invasion already happened. You just weren’t invited. $9.95 flat fee for Kindle, Nook, Tablets, and Mobile. No subscription required. 2-hr reading time. Trackers of firings in America now count roughly 184,000 tech layoffs in 2026, about 1,115 a day across 247 events [https://skillsyncer.com/layoffs-tracker]. New names this week include Amdocs, which cut 2,900 jobs, many of them in Israel. Salesforce trimmed its Agentforce and Marketing Cloud teams. Google kept paring its Cloud division [https://news.crunchbase.com/startups/tech-layoffs/]. These cuts pile onto a known trend rather than break a new one. They confirm what the bigger reports describe. The question is no longer whether AI takes jobs. The question is which workers it pays and which it passes over. PwC measured the reward. SHRM measured the fading protection. India shows the sorting between AI-savvy and non-AI oriented workers in real time. The AI/Labor Report is a reader-supported publication. To receive new posts and support my work, consider becoming a free or paid subscriber. The salaries of workers learning to direct these tools are pulling ahead. The workers waiting for the old protections to hold are running short on time. Get full access to The AI & Work Chronicle at ailabor.substack.com/subscribe [https://ailabor.substack.com/subscribe?utm_medium=podcast&utm_campaign=CTA_4]

15 de jun de 20265 min