IBM Replaces Hundreds of HR Professionals With AI Agents

IBM has replaced about 200 human resources professionals with AI agents. The company’s AskHR AI agent now automates 94% of routine HR tasks, including pay statements, reported The Wall Street Journal.

However, instead of reducing overall employment, IBM has redirected resources to hire more programmers, salespeople, and marketing professionals—roles that require critical thinking and human interaction.

IBM CEO Arvind Krishna emphasized that this shift has actually led to more hiring in other areas, such as software engineering, sales, and marketing.

“While we have done a huge amount of work inside IBM on leveraging AI and automation on certain enterprise workflows, our total employment has actually gone up, because what it does is it gives you more investment to put into other areas,” Krishna told The Wall Street Journal.

IBM’s approach reflects a broader trend of using AI to handle repetitive tasks while reallocating resources to roles that require critical thinking and human interaction.

IBM has also expanded its generative AI division, which has grown into a $6 billion business, offering tools that allow customers to build AI agents capable of autonomously carrying out complex tasks.

This shift reflects a broader trend where AI is reshaping job roles rather than simply eliminating them.

Several tech companies have started replacing HR professionals with AI agents to streamline operations and improve efficiency. Klarna, the fintech company replaced 700 customer service agents with AI chatbots to handle inquiries and transactions. Cisco, UPS, Duolingo, and Intuit have also integrated AI into their workforce, leading to job reductions in certain areas.

The trend is growing as businesses seek to optimize costs and enhance productivity.