Administrative Roles Likely To Get Replaced By AI: IBM CEO As per reports, IBM has approximately 26,000 workers, therefore, almost 7800 jobs could be replaced by AI in the next few years
By Teena Jose
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International Business Machines Corp. chief executive officer Arvind Krishna said the company expects to pause hiring for roles it thinks could be replaced with artificial intelligence in the coming years. In an interview with Bloomberg, on Monday, The CEO said that some administrative functions could be replaced by AI. This comes after several companies, like Amazon, laid off HR staff and planned to use AI instead.
"I could easily see 30% of non-customer facing roles could be replaced by AI and automation over a period of five years. IBM's workforce reduction strategy may include not filling roles left vacant due to attrition," said the CEO.
As per the report, IBM has approximately 26,000 workers, therefore, almost 7800 jobs could be replaced by AI in the next few years. Also, the company employs approximately 260,000 people and continues to hire for software development and customer support roles.
Elaborating more about the AI replacement in the company, Krishna reportedly said that, "More mundane tasks such as providing employment verification letters or moving employees between departments will likely be fully automated. Some HR functions, such as evaluating workforce composition and productivity, probably won't be replaced over the next decade."
IBM CEO's comment comes as generative AI has captured people's imagination around the world following the launch of OpenAI's ChatGPT, Micrososft's Bing Chat and Google's Bard. According to market insights, as AI continues to advance, it is anticipated that an increasing number of software development tasks will be performed by AI systems, further changing the landscape of the industry. It is also noted experts believe that companies will need to adapt and invest in training and reskilling initiatives to ensure that their employees are prepared for the changes that AI-driven technologies bring to the workplace.
Joined as IBM CEO in 2020, Arvind Krishna has worked to focus the century-old company around software and services such as hybrid cloud. The report further revealed that he has divested lower-growth businesses like managed infrastructure unit Kyndryl Inc. and part of the Watson Health business. The company is currently considering selling its weather unit.
