Blaming AI for mass layoffs has become common, as companies like Oracle, Meta and Amazon point to increased efficiencies and the need for new investments as reasons for slashing headcount. Yet, that narrative is facing increasing pushback. Industry analyst Josh Bersin, for instance, says companies are miscalculating by focusing on cost reduction over performance improvement, while Wharton’s Peter Cappelli recently wrote for HR Executive that most companies are choosing layoffs to fund data centers or manage financial troubles.

Nobel Prize-winning economic Demis Hassabis, CEO of Google’s DeepMind, an Alphabet subsidiary, has also chimed in. Cutting humans out of the workforce to make way for AI—instead of finding new opportunities for their talent—shows a “lack of imagination,” he recently said. READ MORE