When we hear that International Business Machines (IBM) is imposing a hiring freeze, the news does not really shock since companies around the world are pausing hiring considering the macroeconomic environment..
As per media reports, IBM is freezing hiring for about 7,800 roles, which it plans to replace with artificial intelligence (AI) in the near future.
Now, that is certainly interesting news and adds fuel to the global debate over whether AI will take away jobs.
This was revealed in an interview by Arvind Krishna, CEO, IBM, during an interview with Bloomberg. As per the CEO, the hiring freeze will primarily impact back-office roles including human resources and administration. That means, about 30 per cent of the roles that do not involve facing customers may be automated or be taken over by AI by 2027-28. The IT major may not fill the roles that have been rendered vacant owing to attrition.
Last month, a report by investment bank Goldman Sachs said that artificial intelligence (AI) could very well replace about 300 million full-time jobs. As per the report, AI was capable of taking over a quarter of jobs/ tasks in the US and Europe. However, at the same time, AI may also lead to creation of new jobs and a boom in productivity.
Microsoft-backed OpenAI’s ChatGPT, is an AI-driven chatbot that has created quite a buzz worldwide, showcasing AI’s potential to transform various industries, including software development. So, it isn’t really only the routine, monotonous and manual tasks that will be easily replaced by AI, but even jobs that require brain work.