PhonePe has made a significant shift to artificial intelligence-driven solutions. But is this shift to AI responsible for the shrinking of the fintech firm’s support team of 1,100 agents to about 400? Has the company trimmed the customer support team by 60 per cent in the past five years all because of AI? The company denies this.
As per media reports, the company has clearly stated the the job cuts had nothing to do with its increasing reliance on AI. Its annual report filed on 21 October reportedly mentions that there is a 40-fold increment in transactions over the past five years, when it has strategically embraced AI-powered solutions.
The company reportedly maintains that it was the automation of customer-service issue resolutions with the help of AI chatbots that helped the fintech major attain more than 90 per cent efficiency. The company also admits that by automating its processes it was able to gain increased profits.
Additionally, by embracing advancements in technology PhonePe has reportedly generated more than 22,000 jobs across the country, proving that technology does create jobs and not vice versa. Its team of over 1,500 engineers is engrossed in enhancing and supporting India’s digital payments landscape.
PhonePe has embraced AI with the aim of streamlining operations and ensuring a better experience for its customers. The company accepts that AI has helped to eliminate certain repetitive tasks and facilitated optimisation, but also explains that this has not led to any layoffs. The company states that it has optimised operations by not hiring new people for certain roles. In other words, it has not created open positions for the automated processes or tasks. PhonePe, as per media reports, has clarified that the transition to automation has not led to layoffs.
