Barclays is the latest company to trim its workforce for AI efficiency
The cost of building out the infrastructure needed to satisfy booming demand for artificial intelligence is changing the way major companies allocate resources. That can mean an end to some jobs once done by humans. Yet in many cases it means repurposing money once spent on workers so that more capital can be devoted to boosting AI capabilities. Just how much money is being spent on AI is a hot topic as fears of a bubble in the sector grow, but the potential impact on workers in some sectors is clear. Here’s a look at some of the companies that have announced layoffs or hiring reductions this year that are tied in some way to massive spending on AI. Barclays The U.K. bank and financial services company revealed in a quarterly financial report this week that it is looking to cut 5,000 jobs, or about 5% of its workforce. The company said that it was seeking “organizational simplification and technology change efficiency driven by AI.” Approximately 60% of the cuts will be from support functions, including developers. Financial institutions are among the most active in deploying AI, in many cases at the expense of workers. Norway’s DNB and Commerzbank in Germany have also announced j…
