- 55% of the companies that caused the layoffs induced by AI to repent
- 38% of leaders still do not understand the impact of AI on their businesses
- Humans are essential, but the investments of AI continue to increase
According to the Organizational Planning Planning Platform, two out of five (39%) companies in the United Kingdom dismissed due to their adoption of AI and hopes of technology, however, more than half (55%) of them now admit that these redundancy decisions were wrong.
The consequences of layoffs induced by AII include generalized internal confusion, which leads employees to renounce and a productivity drop, exactly the opposite of what companies initially expected with the deployment of artificial intelligence.
After seeing how it develops, companies now are less likely to believe that AI will replace human workers after all.
Business leaders regret prioritizing AI over human workers
The report discovers a lot of uncertainty on AI impacts on workforce. Two out of five (38%) leaders do not yet understand the impact of AI on business, with 25% insecure what roles are at greater risk of AI.
Although only 48% of managers who expect AI will replace some workers compared to 54% last year, leaders, according to reports, feel less responsible for protecting their workforce from layoffs.
“While 2024 was the year of investment and optimism, companies are learning in the difficult way to replace people with AI without completely understanding the impact on their workforce can go wrong,” said the CEO of Orgvue, Oliver Shaw.
“We face the worst shortage of world skills in a generation and discard employees without a clear plan for the transformation of the workforce is reckless.”
Looking towards the future, almost half (47%) fears the use of un controlled by employees, with four in five planning to re -train employees to use tools correctly. Two out of five (41%) have already increased their learning and development budgets accordingly, with half (51%) introducing internal use policies of AI and 43%working with third -party AI specialists.
Although it is evident that human workers are fundamental to companies, 80% plan to increase AI investments in 2025, but 27% still lack a clear road map.
In general, Orgvue’s investigation paints a worrying image of the state of AI, highlighting a total lack of understanding. “While it is encouraging to see that investment in AI continues to grow, companies need a better understanding of how technology will change their workforce in the coming months and years,” Shaw concluded.