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The Economic Times
The Economic Times

The AI blindspot: Layoffs are piling up, but where are the returns?

Corporate boardrooms are currently swept up in a massive wave of layoffs as executives scramble to offset their expensive investments in artificial intelligence (AI). The latest are tech giant Meta and banking heavyweight Standard Chartered which have announced fresh rounds of job cuts aimed at tightening operations in this new automation era.

However, a major global survey by the technology research firm Gartner reveals that the corporate rush to fire workers can be a misplaced strategic move. According to their data, cutting staff might temporarily free up cash in a budget, but it completely fails to deliver actual financial returns on AI investments. This growing contradiction shows that real business value comes from magnifying what human workers can do rather than getting rid of them entirely.

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