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Tom’s Hardware
Tom’s Hardware
Technology
Etiido Uko

Chinese court rules companies can't fire workers just because AI is cheaper — ruling says automation alone doesn't justify layoffs

Robot / AI workers at work on laptops.

A court in China has ruled that companies cannot automatically justify firing workers simply because artificial intelligence can now perform their jobs more cheaply, as businesses worldwide increasingly deploy AI systems to automate human labor. The decisions emerged from cases published in late April by the Hangzhou Intermediate People's Court ahead of International Workers’ Day on May 1, including a dispute involving a tech worker whose responsibilities were gradually absorbed by large language models.

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