After Microsoft, IBM Executes Major Layoffs Amid AI Push

IBM has reportedly laid off around 8,000 employees, primarily from its Human Resources (HR) department, as part of a broader push to integrate artificial intelligence (AI) into its back-office operations.

The layoffs follow IBM’s move to replace about 200 HR roles with AI agents capable of automating repetitive tasks like responding to employee queries and processing paperwork. These AI tools require minimal supervision and are aimed at boosting efficiency and cutting costs.

CEO Arvind Krishna stated that IBM is aggressively using AI to streamline workflows but emphasized that overall headcount has increased, as savings are being redirected to areas like software development and sales.

He noted the goal is not to reduce staff but to modernize roles and focus on work that requires human judgment and creativity.

Chief HR Officer Nickle LaMoreaux added that most roles won’t be entirely replaced; AI will handle repetitive parts, freeing employees to focus on more strategic tasks.

IBM is also promoting its AI solutions to external clients.

Earlier this month, Microsoft said it will cut around 6,000 jobs — approximately 3% of its global workforce — as part of a broader organisational restructuring.

The layoffs span all levels, teams, and regions, including 1,985 roles tied to its Redmond, Washington, headquarters.