IBM to Pause Hiring for Automatable Back-Office Roles as AI Takes Center Stage

IBM intends to suspend recruiting for “back-office” positions that can be automated by artificial intelligence (AI). In a recent interview with Bloomberg, IBM CEO Arvind Krishna claimed that AI would certainly eliminate many back-office tasks, such as those in human resources and accounting departments. Krishna thinks that AI might replace up to 30% of these jobs over the next five years. IBM presently employs 282,000 people worldwide, with 26,000 of them working in non-customer-facing roles. This suggests that in the near future, around 7,800 positions might be automated.

Krishna further said that artificial intelligence-based automation has already saved IBM more than $1 billion in business expenditures and maintenance costs. Employment verification letters and shifting staff across divisions are likely to be automated. Roles requiring human judgment, such as appraising staff composition or monitoring productivity, are less likely to be automated over the next decade.

While some experts believe that AI will result in mass unemployment, others believe that it will only be used to increase efficiency. Salman Arshad, a blockchain developer, demonstrates how AI and ChatGPT may help developers by transforming instructions into smart contracts, auditing procedures, documentation, or white papers. Syed Ghazanfer, another developer, argues that mixing human input with AI provides greater variety than pure automation.

However, Dominik Schiener, founder of the IOTA Foundation, believes that AI will eliminate human job opportunities. He thinks that individuals will have to pivot into new positions that are substantially different from what they have done before. Many Americans are already “wary” and “worried” about AI’s influence on the job, with 62% anticipating AI to have a “major impact” on employees over the next 20 years, according to a new research.

Finally, IBM’s decision to halt recruiting for automatable back-office positions demonstrates that AI is poised to play a key role in the workforce. While some are concerned about job losses, others see AI as a tool for increasing efficiency and creating new roles. It will be intriguing to observe how AI impacts the workplace and what possibilities it provides for both businesses and people as it advances.