Posted on 02/11/2026 11:46:08 AM PST by fireman15
A New Report Says AI Layoffs Are Backfiring and Half of Companies Will Start Rehiring, Organizations are starting to come to terms with the limits of AI.
Businesses and workers are actively adopting artificial intelligence tools to automate various workplace tasks and boost their productivity in the process, surveys indicate. Still, managers should probably think twice about using the tech to replace employees anytime soon. Many companies that have swapped people for chatbots will be reversing course and hiring cut staffers back before long, according to top consultancy Gartner.
Recent studies have captured the significantly increased pace with which workplaces are adopting AI to automate redundant job tasks. For example, a McKinsey poll found 62 percent of businesses are at the very least testing the tech, while others are going much faster with fuller deployment. According to a November Gallup survey, 26 percent of employees said they used AI apps a few times per week or more in 2025, and 10 percent reported relying on them daily.
Yet, despite the continued penetration and use of those automating tools—and countless reports that they threaten to push employees out of their jobs—Gartner says the reality of AI’s effects on the workplace are far less dramatic than often billed. That disconnect starts with employment.
After sounding out a selection of its business customers, Gartner experts predicted 50 percent of responding companies “that attributed headcount reduction to AI will rehire staff to perform similar functions” by 2027. Although Gartner said those firms are likely to bring cut staffers back “under different job titles,” the anticipated backtracking won’t be fooling anyone.
(Excerpt) Read more at inc.com ...
Right. I know.
McKinsey consultants check in, and they don't check out!
I've heard the stories.
It's neither.
"AI Chatbot Turns Out to Be 700 Engineers in India":
https://tech.co/news/ai-startup-chatbot-revealed-as-human-engineers
Claude does this flawlessly. Anthropic > OpenAI in the ugliest way. And what does Flim Flam do? Target ads coming to your Codex terminal.
And the pattern is always the same. I have seen it too many times.
A lot of money and time is spent to get a plan that is what the staff had been saying for quite some time. I eventually learned to hire a conslutant to make my recommendation to management at times so they could say, “look how smart I am!”
Real leadership provides dependable, consistent performance. Look at Figma, for example. A few aberrational sessions, but a fairly steady trend since shortly after its IPO. August 1, 2025 $122.00 a share to the current $22.57. No surprises for the folks that jumped in the day after the IPO ($33 a share). No PE ratio, because you have to have earnings to get one of those.
I know a company that told investors they would have AI doing what it takes hundreds or more, to do, in the same industry.
They recently laid off a bunch of people and it was from cash flow issues.
They are seeking another investor to cover them.
These AI champions are egocentric people who hire more like them.
Eventually the Big Boys, will buy up companies like Figma.
Didn’t somebody already try?
“Real leadership provides dependable, consistent performance. “
And, that’s exactly what MSFT has shown.
Consistent earnings growth.
Consistent revenue growth.
Outstanding for a three trillion dollar company.
So far, you are zero for three.
It seems we have all seen the Dilbert Zone in true life, real time.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.